Effective August 1, your clients age 50 and younger will have no lab or physical measurement requirements for the following products and benefit amounts:
- Disability Income: up to $10,000 per month
- Business Overhead Expense and Business Loan Protection rider: up to $25,000 per month
- Disability Buy-Out and Key Person: up to $750,000
All other guidelines remain as they were pre-COVID-19.
Additional things to know
- Limits for applications where the applicant is a resident of California or New York return to pre-COVID-19 levels:
- Disability Income: up to $6,000 per month
- Business Overhead Expense and Business Loan Protection rider: up to $10,000 per month
- Disability Buy-Out and Key Person: up to $360,000
- Multi-life cases, ages 51-64, will have pre-COVID-19 limits of $6,000 per month for Disability Income, $10,000 per month for Business Overhead Expense and Business Protection Rider, and $360,000 for Disability Buy-Out and Key Person.
- The new benefit limits do not apply to:
- Income verification limits for Simplified DI
- The Medical Resident Program
Transition guidelines
There will be a 30-day transition period for business quoted prior to August 1 and where the permanent guidelines are less favorable than the temporary guidelines. To be underwritten based on the temporary guidelines, a case must have an illustration dated prior to August 1 and an application received in the home office by August 31.