Effective Jan. 10, 2022, Lincoln Financial will be implementing pricing decreases to Lincoln MoneyGuard® III and Lincoln MoneyGuard® II, which will improve competitive positioning while continuing to align the MoneyGuard solutions suite. There will be no pricing increases as a result of this update.
After a transition period, currently sold MoneyGuard products will be replaced by the following:
- Lincoln MoneyGuard® III (2021) – 01/10/22 will replace currently sold Lincoln MoneyGuard® III (2021) – 07/12/21 in all approved states.
- Lincoln MoneyGuard® II (2020) – 01/10/22 will replace currently sold Lincoln MoneyGuard® II (2020) – 07/12/21 in the state of California.
Pricing Improvements and Product Updates
Lincoln MoneyGuard III Pricing Improvements
- 6-year LTC benefit duration with 3% inflation option design will see the following improvements:
- Issue ages 55-65 will see a pricing decrease ranging from 9% to 17%.
- Issue ages 45-54 will see a pricing decrease ranging from 4% to 16%.
- 4-year LTC benefit duration with 3% inflation option design and 5-year LTC benefit duration with 3% inflation option design will see the following improvements:
- All issue ages will see a pricing decrease ranging from 0% to 9%.
Lincoln MoneyGuard III Product Updates
- Maximum flex pay period is now 10 years for all issue ages.
- Elimination of the 7-year LTC duration with no Inflation design.
- 6-year LTC benefit duration with 3% inflation option design will see a pricing decrease averaging 6%.
- Pricing decrease will vary by issue age, gender and underwriting class ranging from 4% to 9%.
Lincoln MoneyGuard II Product Updates
- Elimination of the 7-year LTC duration with no Inflation design.
Availability and Transition Guidelines
Pending firm approval, applications for Lincoln MoneyGuard® III (2021) – 01/10/22 and Lincoln MoneyGuard® II (2020) – 01/10/22 will be accepted beginning on Jan. 10, 2022.
- For applications to qualify for the current MoneyGuard® III (2021) – 07/12/21 or MoneyGuard® II (2020) – 07/12/21 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, Feb. 11, 2022.
- For pending or issued business on or after Jan. 10, 2022, Lincoln will accept requests with a revised projection of values to change to Lincoln MoneyGuard® III (2021) – 01/10/22 or Lincoln MoneyGuard® II (2020) – 01/10/22.
- For placed business, normal internal replacement guidelines apply. Rewrites will not be accepted.
- As of Jan. 10, 2022, Lincoln DesignItSM and WinFlex have been updated with the new product version. During the transition period both versions can be run.
- Ensure that you are appropriately credentialed. Clients of advisors who are not properly credentialed to solicit business when the paperwork is submitted will be subject to the product version in effect on the date when the advisor 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 version available at that time.