As any insurance advisor knows, there are significant variations in premiums for similar insurance coverage offered by different companies, and differences in coverage among the same type of policies.

One of the best aids advisors can use to find the policy that provides the best value for clients is LifeGuide professional financial software, which is probably the most comprehensive insurance product software package available in Canada.

LifeGuide is designed, developed, maintained and distributed by Richmond Hill, Ont.-based CompuOffice Software Inc., and it covers policies offered by almost all insurance companies and brokers. “It is the only such software in Canada that covers critical illness, long-term care and universal life, in addition to term and whole life insurance,” says Ami Maishlish, vice president for insurance and financial software at CompuOffice.

LifeGuide is offered independent of insurance sales and marketing organizations and does not have any direct or indirect relationships with any of these organizations — allowing it to remain unbiased. Product pricing, features, underwriting conditions and other content is sourced directly from the head offices of the policy providers. Software upgrades and data updates are done monthly, or more frequently if necessary.

The software is easy to use and requires minimal computer knowledge. It features pop-up windows and clickable search and comparison features. Using the client’s age, gender and risk profile, LifeGuide shows the premiums — monthly, quarterly, semi-annually or annually — for all available policies by the type and face value selected, ranking them from the cheapest to the most expensive. A quote could be requested for a single, joint (first and last to die) or multi-life policy, taking advantage of the software’s cost optimization functions for multi-life policies to save costs.

In addition, detailed qualification and underwriting evidence requirements, policy descriptions, insurance company profiles, sample policy wordings, product marketing materials and other considerations can be reviewed for all types of policies prior to making the purchase decision.

Although cost is usually a primary consideration, the advisor can use the software to research and compare the features, terms and conditions of different policies in order to find the most suitable policy. Essentially, advisors can look beyond cost when choosing a policy.

For term life insurance, the software covers the full spectrum of products, ranging from one-year to Term 100 and including unique, adjustable and guaranteed terms, and facilitates comparison of renewability and convertibility features.

Whole life products covered include guaranteed, adjustable, unique and limited-payment period policies, with comparative information on yearly paid-up and cash surrender values.

For universal life policies, including level or increasing death benefit policies, LifeGuide provides comparisons for various scenarios, including level payments for life, user-chosen limited-payment period and target premiums based on user-stipulated values or coverage at any given point in time. Year-by-year fund and cash surrender values allow for further comparison.

The software’s critical illness coverage enables the advisor to select from renewable term, level-duration premium and return-of-premium products, based on the extent of coverage required and the associated cost, taking into consideration that the events — such as a heart attack, a stroke or cancer — covered by each policy are directly related to the cost of coverage.

For long-term care coverage, the software evaluates various policy features — including elimination periods, maximum benefit period, maximum benefit payout, home care, facility care, return of premium, inflation protection and paid-up options — allowing the user to compare various policies and scenarios to find the most suitable.

LifeGuide also provides a suite of financial tools that allow for the computation of the present and future values, cash flow and return on investment analysis, among other calculations. Advisors can also look up policies of insurers who are no longer operational to trace policies or to find which company now has possession of a policy as a result of changes at the corporate level.

The Windows-based software provides dynamic graphic illustrations for comparative and illustrative purposes; these are customizable and can be printed directly, saved to a PDF file or used electronically. Software upgrades and data updates are available by CD or through fully automated Internet downloads.

An experienced advisor who understands the complexities of insurance can take full advantage of LifeGuide. Although extremely flexible and comprehensive, it is easy to get carried away by choosing the lowest-cost policy. Advisors need to take the time to understand the capabilities of the software in order to make the best use of it. IE

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