John Hancock now offers a Conversion UL product for clients who decide to convert their policy to a permanent life insurance policy during the term conversion period without evidence of insurability.
The following details provide insight into taking advantage of Conversion UL:
- Depending on the details outlined in the contract’s Term Conversion Provision, your term clients have access to either 1) any John Hancock permanent product available for new business sales OR 2) a permanent product designated for conversion as outlined in the chart below. Note, this is a general reference only, and clients should reference their specific policy contract for details on the term conversion provision.
- For term policies where conversion is to a designated conversion product, Accumulation IUL ‘21 is the current product designated for term conversions.
- On term conversion sales going forward, Conversion UL ‘20 will be the permanent product designated for conversion. Any term conversion sales, where conversion is to a designated conversion product, after the dates below will use Conversion UL ‘20.
- For sales in progress, please note the transition rules below if seeking to use Accumulation IUL ‘21 as the designated conversion product.
Conversion UL ’20 is approved in all states except: Delaware, Florida, North Dakota, South Dakota, New York
New business and underwriting information
- June 18, 2021 – The John Hancock home office must receive a term-conversion application for Accumulation IUL ’21 signed by the insured and owner by this date.
Note: the John Hancock home office must receive an Accumulation IUL ‘21 application signed by the insured and owner in addition to a fully executed New York Definition of Replacement (NB4082NY) (if
applicable), Notification and Authorization form (NB4084NY) and Important Notice Regarding Replacement (NB4081NY) by this date.
- July 9, 2021 – By this date, John Hancock must have provided a final underwriting offer, received all administrative requirements to issue the policy, including at least the minimum initial premium, and received confirmation to proceed with the 1035 Exchange (if applicable). For any new term conversion sales after this date where conversion is to a designated product, Conversion UL ‘20 will be the permanent product offered.