New Business Tips

1. Verify issue ages and premium requirements for the product.
2. Make sure all forms have been signed by the client(s) and writing agent(s). Some companies will not take fax copies of signatures and require original wet signatures. If one is missed this can delay the processing.
3. Clearly fill out every part of an application. The following items are often missed: answers to replacement questions, estimated amount of transfer, tax plan applied for, and beneficiary information.
4. Any changes made to any of the paperwork need to be crossed out and initialed by the client. Do not use white out.
5. If a Trust is listed as the beneficiary or owner, include copies of the Trust documents. The title and signature pages.
6. If it is cash with application, make sure the check is made payable to the Insurance Carrier.
7. If it is a transfer, include a correct overnight address for the company from which the funds are being transferred.
8. It’s a good idea to check with the transferring company to see if they require a medallion signature guarantee stamp on the transfer paperwork. Many companies require this and will reject the transfer paperwork if it is not done.
9. Prepare your client for conservation efforts. The transfer company may require additional forms to be signed or their agent may contact the client to try to conserve the business. Your client should anticipate additional paperwork or a phone call.
10. 401 (k) or company-sponsored savings plans require their own transfer paperwork be completed. To expedite the process ask the client to call their former employer for the correct paperwork to execute the transfer.
11. If this is a 1035 exchange, make sure it is like to like. The policy being applied for must be set up with the same ownership and annuitants as the policy being replaced. If not, the 1035 paperwork will be rejected and all new paperwork will be required.
12. When submitting multiple applications where funds are being obtained from the same account include a letter of instruction.
13. If agent appointment paperwork and new business is sent at the same time, make sure your state is an immediate state. If your state is a wait state, new business can not be submitted until you are fully appointed with the carrier. Also for immediate states the appointment paperwork must be dated the same date or prior to the date on the new business.
14. NAIC States require replacement forms even when a replacement is not taking place. NAIC States include: AK, AL, AR, AZ, CO, HI, IA, KY, LA, MD, ME, MS, MT, NE, NH, NJ, NM, NC, OH, OR, RI, SC. TX, UT, VA, VT, WI & WV.
15. When submitting an application where the transfer forms or funds are to follow, please check ahead of time with the carrier to see how long they will hold the policy open.
16. When submitting an application in the State of NY there are Regulation 60 requirements. Please contact ECA to make sure you are meeting the Regulations 60 requirements at 800-356-4189.