 |
 
1. How does the application process work? Enrolling is a simple 4-step procedure. Complete The Application. For your convenience, our on-line application is concise, easy to complete and understand. After receipt of your application, the underwriting begins. The Risk Evaluation Process. All applications will be evaluated by the underwriting team at Financial Advisors Assurance Select. You may be asked to provide additional information to help expedite the process. We expect to complete our application review within seven business days of receipt of all requested data. Accept The Quote Offer. Upon acknowledgment of the quote, remit payment for policy acceptance. All payments can be made via check or credit card. Premium financing is also available. Receive the policy. Your policy will be issued to you electronically via e-mail upon receipt of payment. 2. Why should I consider purchasing a policy from Financial Advisors Assurance Select?
The structure is unique to Financial Advisors Assurance Select’s policy holders. It is a two tiered structure. The first deductible covers the defense costs with the goal of keeping your out of pocket low and fighting vehemently on your behalf. This deductible is only $2,500. In the event there is a settlement cost, you only pay the first $10,000. By providing you this structure, our goal is to keep your cost to the defense piece only, all the while providing you indemnification in the event of a settlement. 4. What is the history of Financial Advisors Legal Association? We started as a continuing education company in 1989 and it wasn’t long before we realized the need for an association focusing on litigation prevention exclusively for Financial and Insurance Professionals. There were so many gaps in Errors & Omission insurance that we knew there had to be a better way to preserve the industry from the staggering rise in legal claims. So we expanded our services to provide legal referral services, defense and comprehensive insurance to individuals and firms with a single motto in mind – always place litigation prevention first. Our goal was not only to prepare but to provide resources that would actually increase the potential of prevailing in a claim. Now, through membership in FA Legal you can purchase insurance through Financial Advisors Assurance Select Risk Retention Group. 5. What is a Risk Retention Group? Risk Retention Groups are owner controlled insurance companies, kind of like a mutual insurance company where all the owners are insured and all the insured are owners. However, what is different is it’s available specifically to an industry group, not the general public and is licensed for this specific group through the Risk Retention Act of 1986. To be able to purchase the policy you must join FA Legal. 6. Why must I contribute to the surplus of Financial Advisors Assurance Select, Risk Retention Group? What do I get in return? The deposit is your ownership stake in the group. This contribution also confirms your financial commitment to adhere to the risk mitigation protocol of the group. If the group has low incidents of loss the entire group benefits through dividends, or premium reduction or both. If the group suffers substantial losses, the reserve deposits are drawn to maintain the assurance of payment for losses. In other words your deposit is “skin in the game.” Everyone benefits or suffers equally. Everyone is working towards the same goals to mitigate loss! 7. What exposures does the policy NOT cover?
8. How does this coverage apply to my work as a financial advisor regarding the sale of life and health insurance including long term care and annuities? The coverage under this policy is for any insurance transaction or professional financial services related to an insurance product (including life, health, long term care or annuities) provided the claim is brought in arbitration and initiated from an individual client (natural person) of the insured. 9. When will my policy be effective? Your policy will be effective upon confirmation of FA Legal membership, underwriting approval, and receipt of all applicable funds. 10. I am currently a member of Financial Advisors Legal Association. Do I still have to pay the same premium? Yes. Everyone in the group pays the same premium. Also, everyone has to be a member of Financial Advisors Legal Association to purchase the policy. 11. How can I pay for my policy? You can pay by check or credit card. We can also arrange to have your payment financed. Individuals interested in exploring this alternative are encouraged to call us directly to learn more about installment options, down payment amounts, etc. 12. What are the benefits of being a member of Financial Advisors Legal Association?
$1 mm / claim
|
|
