ING Direct 2011 Annual Report Download - page 54

In 2011, Insurance US also developed a new in-plan retirement
income solution, which was launched in January 2012 as part of
workplace retirement plans for companies in the corporate sector.
It helps participants incorporate income planning into their overall
retirement plan investment strategy – and ultimately helps them
generate a stream of guaranteed income at retirement.
ING Retirement Research Institute
Because successful retirement planning often begins with
investment in an employer’s retirement plan, the ING Retirement
Research Institute (the Institute) creates and makes publicly available
(at INGRetirementResearch.com) a wide range of studies and
materials that help advisers and employers better meet the needs
of their clients and employees. In 2011, the Institute introduced a
number of such studies, designed to help improve understanding
of participant behaviour and the efficacy of employer plans,
including: Public Pensions in Focus, for government employers
who face increasing scrutiny of their retirement systems; Mapping
the Participant Mindset, a study which covers the basics on the
emotional and psychological barriers to successful retirement
investing; and Shining a Brighter Light on Retirement, which
examines participant and employee expectations of their
employers’ retirement plans.
In 2011, ING received several awards for high quality
communication and education about retirement plans from
well-respected organisations such as the Insurance and Financial
Communicator’s Association, Pensions & Investments, the National
Association of Governmental Defined Contribution Administrators,
the Profit Sharing Council of America, MarCom and Dalbar.
Insurance
Insurance US is the second largest provider of term life insurance
and the sixth largest provider of universal life insurance, according
to LIMRA’s third quarter 2011 rankings of companies participating
in its survey. In addition, the company isthe fifth largest provider of
medical stop-loss insurance based onin-force premiums, excluding
companies in the managed caremarket.
The life insurance business focuses on competitive product
manufacturing, effective distribution and efficient operations.
INGhas a comprehensive portfolio of retail life insurance product
solutions, complemented by its institutional group life business.
Inthe retail market, it manufactures a range of products from
low-cost term insurance for the middle income market through
to high-end universal life products for the affluent markets. The
business has a strong multi-channel sales team with the capacity to
reach almost all licensed life insurance agents in the US. It has over
80,000 independent producers and more than 1,500 intermediaries
under contract or appointment. Its distribution organisation has a
best-in-class sales support and illustration system. This model has
allowed ING’s Individual Life business to generate significant scale
and to become a major writer of permanent life insurance.
ING continues to see growth opportunities in both the term and
universal life markets. In September, a new indexed universal life
product was launched, which has been well received by the market
and is showing strong growth opportunities.
In 2011, ING launched Life Illustration Express Mobile, an
innovative, new tool that brokers and agents can use on their
tablets and mobile devices. This technology makes it easier to
instantly run illustrations and compare premium quotes for multiple
term and universal life insurance products. This helps their clients
make informed choices on coverage. ING’s new Life Illustration
Express Mobile leverages the latest advances in mobile and
smartphone technology and allows agents to respond to their
clients in real time with illustrations and quotes.
Professional Life Advisors Network (PLAN) has added ING as an
approved core carrier. PLAN is composed of prominent life
brokerage agencies across the US that help financial professionals
to provide appropriate insurance strategies for complex personal,
business and estate-planning issues.
Employee Benefits business grows
Insurance US also offers group life, disability and medical stop-loss
insurance as well as voluntary benefits insurance products through
its Employee Benefits business. These are provided through
benefits brokers and consultants to companies and organisations
looking to provide their employees with high quality benefits.
Voluntary benefits products include Universal Life, Whole Life,
Critical Illness, as well as Accident and Disability insurance products.
Employee Benefits has a strong position in the group life and
stop-loss markets. A major initiative is under way to build up the
online service capabilities for large group life customers as well as
to continually refine the stop-loss product strategy to maintain
ING’s leadership position in this market. Product development work
is well under way in the voluntary product lines to improve the
competitiveness of our offerings to better meet the needs of the
changing voluntary market.
More than six million Americans own an individual life insurance
policy or are covered by one or more employee benefits offered
through one of ING’s companies in the US.
CONCLUSIONS AND AMBITIONS
With approximately 12 million account and policyholders, Insurance
US has leading franchises in retirement, life insurance and
investment management, and remains strongly committed to its
strategy to become the premier franchise in our industry in the US.
The business will remain focused on customers’ needs and
providing retirement, life insurance and investment products and
solutions through a broad set of distribution channels.
ING will continue to develop and sell products that make sense
forcustomers and distribution partners, but also make sense for
the company. Insurance US intends to prudently invest capital in
initiatives that help it grow while delivering an appropriate risk-
adjusted return.
In general, Insurance US intends to focus on profitable sales
growth, disciplined pricing, prudent expense management,
efficientcapital usage, and preparation for the future as a stand-
alone company.
52 ING Group Annual Report 2011
Insurance continued