iExtend has pledged to provide life insurance policyholders who are committed to cancelling their policies with another option, saying it will save Australians billions of dollars of cover forgone every year.
The company said by co-owning a policy with iExtend, policyholders will eliminate future premium payments from the percentage of the policy that was to be cancelled.
iExtend estimates it will return approximately $25 to $50 million in life insurance claim benefits over the next 10 years to Australians.
“iExtend wants to fill a gap in the insurance market and to partner with financial advisers and insurance providers to ensure policyholders can continue the valued relationship they have with them by accessing a flexible, innovative and alternative insurance option,” CEO David Sarkis said.
“We are excited to be bringing this flexible and innovative life insurance option to the Australian market and to provide a social wellbeing and quality of life benefit to those we partner with whilst also helping the insurance industry provide sustainable products and continue to service this market segment.”
iExtend is led by a leadership team that includes former Bankers Trust Australia (BT) executive director Rodney Payne as chairman and co-founder and former CEO of MLC and Perpetual, Geoff Lloyd, as advisory board chair.
What a brilliant concept! This is what happens when the great minds of our industry pool together to create a solution.
Except its a solution brought about because of an inept government, and poor practices by life insurers, where policy premiums have gone through the roof.
the LIF review sponsored by ASIC and their mates in ISN world has fixed the Life Insurance sector – nothing short of a brilliant effort
So rather than someone cancel IExtend pays all or some of the premium and then takes a cut of the claim? Is that what this is?
looks like it: “When a claim is made, the policyholder receives 100% of the cover they are paying for as well as a share of the cover iExtend has paid for on a sliding scale that ranges from 60% to an absolute minimum of 10% depending on how long iExtend has been paying premiums”.
Are there really any Life Insurance advisers left to partner with?