We wanted to give you a heads-up that effective Monday, March 16, 2020, Lincoln Financial announced a pricing update for Lincoln MoneyGuard® III and Lincoln MoneyGuard® II (2020) in CA. NY is not in-scope for this pricing update. Important to note they will have a 11 day transition period that began on Monday, March 16, 2020, and ending Friday, March 27th. We’ve provided official transition info and pricing info below. Now is as good a time as any to remind you that we rolled out e-App last month (not available in CA or NY) and as Advisors begin shifting to virtual meetings with their clients, tools like e-App and e-Delivery are becoming invaluable.
Pricing adjustments will result in a price increase between 0-9%.
Single pays will see an increase of 8-9%.
Flexible premium payments will see an increase that trends down as the duration of payments is extended:
- 5-pays increase 6.5%
- 10-pays increase 4.5%
- 15-pays increase 3.0%
- 20-pays increase 1.5%
- 25-pays increase 0.5%
There is a transition period which began on March 16, 2020, and ends on March 27, 2020. Important items to be aware of regarding the Transition Guidelines are listed below:
- For applications to qualify for the current Lincoln MoneyGuard® II (2020) pricing, a projection of values and the completed Part 1 must be signed, dated, and received in-good-order by Lincoln’s home office by Friday, March 27, 2020.
- For pending or issued business, after March 16, 2020, Lincoln will accept requests with a revised projection of values to change to Lincoln MoneyGuard® II (2020) – 03/16/20 pricing.
- For placed business, normal internal replacement guidelines apply. Rewrites will not be accepted.
- 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 premium rates 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 product available at that time.
If you want to discuss the pricing changes, concierge care coordination or e-app capabilities, please contact our Sales Team.