Lincoln Announces Updated MoneyGuard Policy Dating Rules
FROM LINCOLN FINANCIAL...
Lincoln is updating our MoneyGuard Policy Dating Rules to add consistency across our life insurance product portfolio, help simplify how policy issue age is handled, and better align ourselves with the competitive marketplace.
Effective February 12, we will no longer offer backdating 1 month from the signature date of the Part I to save age. With the new rules:
The insured's insurance age is the insured's actual age on the date when the application is signed.
The insurance age could increase if the insured has a birthday between the time of application and policy placement. Lincoln will save age for up to one month during the new business and underwriting process.
In order to save age, the policy must be placed and/or the 1035 replacement initiated, within 1 month of the insured’s birthday. Otherwise, a revised illustration reflecting the older age is required and if applicable, New Business will reissue a new policy. At placement, the policy date and the effective date of the money will be the current date Lincoln New Business confirmed all requirements, including premium, are in good order.
Beginning February 12, Lincoln DesignIt will follow the new MoneyGuard Policy Dating Rules. The MoneyGuard Cover letter and all firm-variations will be updated in February to reflect the new policy dating rules along with a few unrelated enhancements to support the application experience.
For applications to qualify for the current MoneyGuard Policy Dating Rules, an illustration and the completed Part 1 must be signed, dated, and received in-good-order by Lincoln’s home office by Friday, February 9, 2024. For pending or issued business received on or after February 12, 2024, Lincoln will follow the current MoneyGuard Policy Dating Rules.
Transition Guidelines
For applications to qualify for the current MoneyGuard Policy Dating Rules, an illustration and the completed Part 1 must be signed, dated, and received in-good-order by Lincoln’s home office by Friday, February 9, 2024.
As of February 12, 2024, any new cases received will follow the new MoneyGuard Policy Dating Rules.
As of February 12, 2024, Lincoln DesignItSM and WinFlex will be updated with the new rules.
Ensure that you are appropriately credentialed. Clients of financial professionals who are not properly credentialed to solicit business when the paperwork is submitted will be subject to the MoneyGuard Policy Dating Rules in effect on the date when the financial professional becomes properly credentialed and resubmits the paperwork
Remember that once an application is submitted, the Personal History Interview (PHI) must be completed within 60 days of submission. In addition, the case must be placed within 90 days of the PHI. If these conditions are not met, the case will be closed out. If a case is reopened, a new Part 1 must be submitted, and the case will be subject to the MoneyGuard Policy Dating Rules.
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