Advanced Planning
Annuities
Disability Insurance
Employee Benefits
Life Insurance
Long Term Care
Medicare
Tools & Resources

POLICY OWNER SERVICE TIPS

  • On average a Carrier’s grace period is 30 days before the policy will lapse.
  • A policy can apply to be reinstated by completing a reinstatement application.  Underwriting will notify of any additional requirements.
  • The policy paid to date is the date the next premium is due.
  • Applying for a  rate reconsideration will depend on the carrier guidelines.  The policy must be inforce for at least one year.   Will need to submit a  completed policy change application and go through underwriting.
  • Only term policies can be converted.
  • Policy face amounts can be reduced on most term policies, it will depend on the carrier.  Term policy face amounts can not be increased. Universal and whole life policies can be reduced or increased.  If the policy face amount is increased, further underwriting is required.
  • If there are any changes to the contract the client is notified directly from the carrier.
  • The penalty-free amount available is the amount available to withdraw without charges.  Typically that amount is 10%.
  • What is a bail out rate? – A bailout provision is a clause in the contract of your annuity that allows you to withdraw your money without any penalties based on predetermined conditions.
  • What age does a client need to be to start taking their RMD (Required Minimum Distribution)? – Once you reach age 72, you are required by the IRS to take annual Required Minimum Distributions (RMDs) from your retirement accounts. You need to calculate your RMD for each IRA separately, but you have the flexibility take your total RMD amount from either a single IRA or a combination of IRAs. However, RMDs from Qualified Retirement Plans or Inherited IRAs must also be calculated separately, and can only be taken from their respective accounts. You do not need to take RMDs for Roth IRAs
  • Additional deposits can be made into a flexible premium annuity policy.
  • What at the 6 ADLs? – Activities of daily living (ADL) are routine activities that people tend do every day without needing assistance. There are six basic ADLs: eating, bathing, dressing, toileting, transferring (walking) and continence. A person’s ability to perform ADLs is important for determining what type of long-term care — for example. nursing-home care or in-home care — and health coverage the person needs such as Medicare, Medicaid or long-term care insurance.
  • The grace period for lapsed or non-paid policies is dependent upon the carriers guidelines.  Please refer to policy issues for guidelines.
  • Claim forms can be obtained on the carriers website.
  • You can obtain plan information and forms directly from the carrier’s site.  Please use the Carrier Reference Sheet.
  • To become agent of record on the policy the policy owner would need to complete the carrier’s form or a letter of instruction and the new agent must be licensed with said carrier.  If an agent is vested, you are only able to become the servicing advisor.
  • The easiest way to see get current information on your clients or to obtain needed forms is to log directly into the carriers website. Carrier Reference Sheet