Cooperative Technologies
Streamlining Annuity and Life Insurance Replacement of Funds

Replacement of funds, including 1035 exchanges is pivotal for new Annuity Policy purchases, the effectiveness of this process is often hindered by the fragmented nature of data within the insurance industry. Financial professionals face considerable challenges when trying to access accurate information, contributing to inefficiencies, delays, and overall dissatisfaction among stakeholders.

Cooperative Technologies, with its 35-year track record of excellence in back-office insurance solutions, addresses this challenge head-on with its 1035YellowPages database.

The 1035YellowPages database encompasses detailed records on over 3,000 ceding carrier companies including 100 percent of annuity and life insurers, top banks, mutual funds, broker-dealers, and pension administrators. Continuously updated in real-time, the database accurately captures the constantly evolving industry landscape, including mergers, acquisitions, and rebranding initiatives. This ensures financial professionals have access to the most up-to-date data, significantly enhancing the efficiency of the 1035 transfer process.

Cheri DeBoer Stinson, director of Cooperative Technologies, while talking about the impact of its database says, “Prior to the advent of the 1035YellowPages, transfer processes could extend between 45 to 50 days, with documentation frequently circulating between carriers for the rectification of errors and omissions. With our automated and precise database, coupled with industry automation initiatives, clients have managed to reduce turnaround times to just three to five days.”

1035YellowPages is not just a static repository of information, but a smart data set that integrates with annuity order entry platforms commonly used by insurance distributors, independent marketing organizations (IMOs) and financial professionals. This translates to a streamlined, automated transfer process right from the point of sale simplifying it for financial professionals, enabling them to execute transfers with precision.

Financial professionals can access the 1035YellowPages directly through their order entry platform. The database will instantly provide them with the correct legal name of the ceding carrier, the appropriate processing location, and the specific requirements for that ceding carrier, such as e-signature acceptance, wet signature requirements or the need for proprietary surrender forms or a medallion signature guarantee.

Armed with this pivotal information right at their fingertips, financial professionals ensure that transfer paperwork is accurately completed on the first attempt, devoid of errors or omissions that could lead to procedural delays.

The incorporation of the 1035YellowPages data into the order entry platform has demonstrably reduced Order Entry Not in Good Order (NIGO) rates by an impressive 21 percent, evidencing the substantial impact of this initiative on streamlining transfer operations.

With our automated and precise database, clients have managed to reduce turnaround times to just three to five days

The industry has taken notice of this significant enhancement in efficiency. The Insured Retirement Institute (IRI), a prominent trade association for the retirement income sector, lauded Cooperative Technologies’ 1035YellowPages as one of the top five best practices for facilitating smooth and timely transfers.

The company maintains an active collaboration with industry partners, including the IRI and the Depository Trust & Clearing Corporation (DTCC), to further refine the transfer process. It is deeply engaged in initiatives such as the IRI’s ‘Digital First for Annuities’ program, which strives for straight-through processing and a fully digital transfer experience.

As the industry evolves, Cooperative Technologies is committed to ensuring that the 1035YellowPages remains at the forefront of this change. The company is constantly enhancing its database with new data fields and functionalities, informed by feedback from clients and partners. It is also broadening its service to include smaller distributors and independent financial professionals who might not have access to the sophisticated order entry platforms used by larger entities. Within the next two months, it plans to introduce new offerings specifically designed for this market segment, affirming its promise of inclusivity and continuous improvement in the sector.

Cooperative Technologies’ 1035YellowPages is an indispensable tool for financial professionals who want to provide their clients with the best possible service. By streamlining the transfer process and eliminating errors and delays, it helps to make the life insurance and annuity industry more efficient, responsive and customer centric.