Beginning April 11, 2022, Term Essential rates will change, with the majority decreasing. Plus, Term Essential continues to deliver some of the greatest added value from a reliable brand that clients know and have trusted for nearly 150 years.
Extra-value features that are not changing
You and clients can still rely on Prudential and Term Essential to deliver value with advantages like these:
- Term to Perm conversion privilege allows flexibility that helps meet clients’ needs now and in the future.
- Age Last Birthday Pricing means clients could pay lower premiums.
- Consistent and strong underwriting to let you know we’re giving clients the best rates we can.
- Living Needs Benefit rider allows clients to accelerate the policy’s death benefit should they be diagnosed with a terminal illness.
- eCapabilities simplifies life and creates a seamless, digital experience from start to finish, with:
- eSubmission, eSignature, eInterview, and eDelivery to eliminate paperwork, medical exams, and delays.
- PruFast Track, our accelerated underwriting process, to approve eligible clients in days.
- LifeInsight eService platform, to help you monitor clients’ policies to avoid surprises.
Transition Rules
- April 10, 2022 (Last Day for Old Rates): Last day that an application can be signed with a request for Old Rates. The inventory of cases with a sign date of April 10th or prior will have a price compare performed at policy issue. The policy will be updated to the lower of the old vs new rates at that time.
- April 11, 2022 (Ready to Sell Date): New Rates for the repriced product are in effect. All applications signed and dated1 on or after April 11, 2022 will receive New Rates.
- April 15, 2022 (Home Office Receipt Date): Last day that an application can be received in the Home Office with Old Rates.
- June 17, 2021 (Placement Date): Last day that a pending case can be placed with old rates. All delivery requirements must be received in good order by end of business day (4 PM EST). Policies not placed will be updated to new rates and will no longer be eligible for the premium price compare.
APPLICATIONS WITH PENDING OWNERSHIP ARRANGEMENTS
Updates to applications as part of establishing a trust or finalizing the ownership arrangement can be made after the application deadlines outlined in the transition rules. However, these cases must still meet the
application deadlines for the original application, and comply with all other deadlines outlined in the transition rules.
REQUESTS FOR OLD RATES
INFORMAL/INQUIRY APPLICATIONS
Informal/Inquiry applications will not be eligible for Old Rates unless replaced by a live application by the “Last Day for Old Rates” deadline outlined in the transition rules.
BACKDATING
Normal backdating rules apply, meaning that the new policy date can be backdated up to six months prior to the application date. A policy with New Rates can be dated prior to the state introduction date as long
as the application meets the requirements in the TRANSITION RULES above. Please note: If the date of birth is more than 6 months prior to the state introduction date, you cannot backdate the policy to save
age with a request for the new product version.