ESSEX LIFE'S NEW POLICY TO BYPASS NJ AGENTS

ESSEX LIFE'S NEW POLICY TO BYPASS NJ AGENTS

Essex Life Insurance Co., the first independent carrier to be certified by the New Jersey Insurance Department in more than 15 years, said it will sell

commission-free insurance products.

The company will market its line directly to individuals or their representatives, such as financial planners, attorneys, and bankers. No insurance agents or brokers will be used.The company's first product is an interest-sensitive, whole life insurance policy with a minimum face value of $100,000.

Though similar to universal life products that enable policyholders to participate in interest earnings and favorable trends in insurance mortality experience, the Essex Life policy provides guaranteed insurance protection for life, regardless of the fluctuation of interest levels, the company said.

A singular advantage of this commission-free policy, said company President Joseph Canderozzi, is that cash values are generated far more rapidly. Our clients can accumulate cash values equal to 75 percent or more of premiums paid by the end of the first year, while most whole life policies do not reach that level until their fifth year.

The company said the direct-marketing approach was taken because of the target audience.

We are offering high-value insurance products that are attractive to the affluent individual or business owner, William Adams, executive vice president, said.

Conventional insurance marketing, he continued, emphasizes products that have to be sold by agents. Our products are not conventional; they have been designed to be attractive to buyers.