The insurance calculator is a needs analysis tool that answers the client’s question: “If something happened to me today, would my family be OK tomorrow?” It provides an efficient and structured process that enables a valuable conversation with a client to determine their insurance needs. It captures the information in a file note that includes the questions, answers and amounts as well as graphs, plus any notes that the adviser has added.
The calculators enable the adviser and client to start with a ‘blank piece of paper’ to determine what types and levels of insurance they require. These amounts are then compared to the assets and resources they have available and calculates the shortfall to be funded.
The life insurance calculator provides a sequence of questions to help the client determine how much life cover their family requires in the event of either partner becoming deceased.
The graph provides a visual representation of each decision on the clients’ annual cashflow and shows the total amount required.
The income protection calculator draws the components of the client’s salary from previous information supplied and allows the adviser to quickly and easily determine the client’s income protection options and their wishes.
Building on the information provided in the life cover and income protection calculators, the Total and Permanent Disability Calculator (TDP calculator) provides further questions for the clients to consider if either of them became totally and permanently disabled.
The graphs visually depict the impact of their decision on both annual cashflow and shows their overall insurance needs.
The Trauma calculator, provides a number of questions for the client to consider if either of them were to experience a trauma event and the graph shows visually the components of their trauma needs and the accumulated lump sum required.
The insurance summary page collates all the information from the previous calculator pages and provides for a discussion with the client around how to structure their various insurance policies.
A breakdown of how their insurance was calculated can be accessed for client transparency and understanding and the assumptions can be changed to instantly model the impact of various options.
A complete file note can then be generated and the modelling scenario can be saved onto the system to quickly and easily review the client’s insurance needs each year.