To help ensure your cover letter does its intended job, start by reiterating the type of policy you would like and the face amount and explaining the purpose of the coverage – personal or business – and providing any additional pertinent details, such as:
- Whether the personal policy will be tied into loans or used for income replacement or estate coverage.
- For business policies, the applicant’s position and role within the company. Explain the applicant’s importance to the company and any unique talent that would be difficult to replace. If a buy-sell agreement exists, detail how it will be tied into the company’s value. For loan coverage, provide details on the loan.
- Noting, with full details, any additional companies where the applicant has submitted applications for insurance.
Three Key Elements of Cover Letter
Financial Details
- Explain how you and your client arrived at the desired face amount.
- Provide details around any bankruptcies, poor credit or other financial issues.
- Explain any unusual situations that may merit special consideration.
Medical History
- Provide a summary of the applicant's relevant medical history.
- For any significant conditions your client has or had, include details on current and past treatments, medications and any outcomes.
- Note which rating class was quoted.
Lifestyle
- Share any relevant information regarding lifestyle risks, such as hobbies, exercise routines or travel preferences.
- If relevant, note any history of driving violations.