Staggered payment scheme to ease cashflow

Angel Underwriting has launched an interest-free direct debit payment scheme across its full product range as an enhancement to its broker portal.

The initiative has been designed to complement Angel's online broker services and QuickQuote system, which allows its partners to access quotes and bind cover for the insurer's directors' and officers' and professional indemnity policies.

Angel said it hoped that brokers would be able to transact business more easily by eliminating the need to collect premium payment. The insurer will handle arranging the direct debit process with the purchaser's bank, which means brokers will only have to indicate whether the client accepted the direct debit option at the time of purchase. Customers will have a choice of paying their premiums all at once or over 10 monthly instalments.

Gary Green, Angel's business development director, said: "The creation of the interest-free direct debit payment scheme is a major development and will make life easier for both our brokers and their customers.

"For brokers, eliminating the need to collect premium will benefit them in regards to their cashflow, which is an important consideration in the current recession."

Among Angel's efforts to simplify administration processes has been its push for transacting policies electronically with brokers. Mr Green claimed that the company had seen a significant rise in the number of brokers that had opted for paperless policies.