Life Policy Servicing and Optimization
NorthStar’s knowledge and processes designed to achieve true premium optimization are unrivaled. Our deep understanding of life insurance products, as well as the development of analytics and control processes, will truly enhance the returns of our clients. While other servicers claim to employ “premium optimization,” they almost always mean utilizing the industry-standard pricing models to calculate premiums rather than accepting a level-pay approach. While this is one level of optimization, the industry-standard pricing models do not properly calculate the true optimized premiums on many products. Therefore, for these products (which often comprise 25% or more of a portfolio), a much deeper analysis is required. Few, if any, other servicers take premium optimization to this second level. Additionally, NorthStar also conducts follow-up carrier calls to validate cost of insurance (COI) charges and verify that the carrier’s COI calculations are consistent with our analysis.