Laura Muka, Partner and COO at Exceptional Risk Advisors, is a subject matter expert with more than 30 years of experience selling, implementing and funding executive disability plans. She provides us with an update on the Excess Lines' Guaranteed Standard Issue Market in this short video plus shares two opportunities to focus on in 2021.
The two opportunities in the Guaranteed Standard Issue (GSI) space to focus on in 2021 are 1) Mandatory GSI Programs and 2) Voluntary GSI Programs. Mandatory plans are typically rolled out to smaller groups and are employer paid. The number of eligible participants can be as low as three lives. Voluntary plans are reserved for larger groups between 50-1,000+ participants and are employee paid. In order to successfully enroll a robust Voluntary GSI plan, you'll need a basic education of the product and a trusted partner in this space. At Exceptional Risk Advisors, we have developed an online enrollment, education and communication strategy to help expedite the enrollment process, eliminate errors and boost participation rate.
Watch our "Top 5 FAQ's on GSI" Webinar
Laura Muka continues to share the impact of the past year on the market - like the rest of the Excess Lines Market, the GSI market is also hardening. The Excess GSI market is relatively new compared to the market as a whole and has only seen high activity in the last 4 or 5 years. The GSI market is starting to level out with limits coming down and discounts reducing.
However, the power of re-occurring revenue has never been more apparent than with a GSI policy. To help illustrate, we have a GSI case on the books for the last 3 years (and counting!). We extended an offer of $35,000/month of coverage on top of the currently in-force policy through the traditional carriers. The premium growth for year one was 25% and year two was almost 10%. Click here to read the full case study.
