When a client’s needs or goals evolve, their existing investments, annuity or life insurance policy may no longer be right for them. In these situations, advisors play a critical role. They guide clients through the transition to more suitable products.
This process of moving from one product to another can be a 1035 exchange, transfer, rollover, or replacement. The type depends on the product. Regardless of the type, managing these transactions can be challenging and requires careful diligence. The traditional methods often involve manual research of ceding carrier and product information. This is time-consuming and increases the risk of errors, delays and even lost sales.
However, embracing digital processes can significantly simplify and streamline these transactions.
The Common Hurdles
Transfers, replacements, rollovers, and 1035 exchanges present unique challenges compared to new business or new product sales. This is due to their dependence on the ceding carrier’s specific requirements. Identifying each carrier’s correct processing location and finding the correct rules for forms and signature requirements all add complexity to the sales process.
Ceding Carrier Requirements. Each ceding carrier has different procedures and requirements for transfers, replacements, and exchanges. For advisors this means navigating a diverse set of requirements, which can be time-consuming and challenging to manage
Signature Requirements. Some ceding carriers need wet signatures, while others accept digital signatures. Advisors must be well-informed about each carrier’s specific preferences to ensure compliance and avoid delays.
Missing Information. Incomplete forms or missing signatures leads to NIGOs, further complicating and delaying the process.
Locating accurate ceding carrier information and understanding their requirements can be daunting. These challenges lead to a high rate of not-in-good-order (NIGO) applications. And are one of the most challenging NIGOs to solve. It also negatively impacts the client experience by introducing additional hurdles and potential frustrations.
Fortunately, there’s a solution that can automate the transfer and exchange process. Integrating 1035 Yellow Pages into your FireLight e-application workflow.
Blunder-Free Bliss: Accelerate with Automation
Automating the replacement process can streamline your e-application workflow, leading to major time and resource savings. With digital access to ceding carrier information and automation, advisors gain quick access to the most up-to-date ceding carrier requirements. This means no more worrying about exchanges being rejected due to outdated or inaccurate information.
This seamless integration ensures that submissions are accurate and compliant, reducing the likelihood of NIGO applications. As a result, advisors can focus more on providing exceptional service to their clients, enhancing overall efficiency and client satisfaction.
Streamlining Exchanges with 1035 Yellow Pages Integration
When firms integrate 1035 Yellow Pages with FireLight, exchanges are in good order on the first submission. Also, the automated system not only pre-fills the forms with the correct carrier information but will catch errors before they cause delays. So, your team can process exchanges faster. The result? A more efficient exchange experience for both you and your clients.
For example, an advisor is assisting a client replacing an old variable annuity with a new fixed indexed annuity. The 1035 Yellow Pages integration pulls in the correct ceding carrier information, transfer paperwork and signature requirements into FireLight. This ensures a smoother, faster workflow. Faster processing times mean more time for your advisors. So, they can focus on what matters most: growing business.
Hexure’s FireLight platform integrates with the 1035 Yellow Pages database. It leverages this data throughout the entire replacement process:
Ceding Carrier Identification. During e-application entry, the integration assists in identifying the correct ceding carrier and product being replaced. While the tool provides valuable information, advisors still need to verify certain details to ensure accuracy.
Forms and Requirements. The integration pulls the replacement forms, signature requirements, and other paperwork into the e-application bundle, and prefills the ACORD 951e Form with ceding carrier information. This ensures 1035 exchanges are in good order on the first attempt.
Processing Details. The integration inserts addresses, contact information, and delivery preferences for the ceding carrier’s replacement processing office. This ensures that the agent is aware of the required process for replacement paperwork so it can be submitted using the required method (digital, fax, mail, email, etc.).
Straight-Through Workflow. The integration enables fully electronic transfers for carriers and products that support it.
Tracking and Reporting. The e-application platform and CRM synchronize statuses and ceding carrier details throughout the process. This allows proactive tracking, exception handling, and reporting. 
Tying these steps together eliminates bottlenecks and manual touchpoints. NIGO rates go down, while sales times improve. Advisors and clients get a more seamless, expedited experience.
The Bottom Line
Technology not only enhances efficiency but also delivers a better experience for both advisors and clients. By automating and digitizing the replacement workflow, you can ensure submissions are processed in good order, reduce manual effort, and enhance accuracy. Digital solutions also make complex transactions more manageable and less prone to NIGOs.
The FireLight and 1035 Yellow Pages integration allows advisors to focus more on supporting their clients and growing their business, while being confident that their client’s applications are streamlined and in good order.
