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LTC Grace and Lapse Period Changes

Posted by LTCI Partners | Apr 22, 2020 4:58:31 PM
Extensions for grace, lapse periods
 
 
Transamerica
LONG TERM CARE PRODUCT GRACE AND LAPSE PERIOD CHANGES
Amid the changes we're making to help agents conduct business during the COVID-19 pandemic, we've received guidance regarding how long we can extend grace and lapse periods for long term care policies.
We are extending premium payment due dates by an additional 30 or 60 days.* Customers have 90 days from the due date to pay premiums and keep their insurance coverage.
Customers should know:
Existing policy holders will receive a one-time mailing outlining this extension — please see the non-TFLICNY state-specific letter, and the TFLICNY New York letter for reference
They may have received a lapse notice before we could update our systems to automatically delay lapse notices by 90 days
Policies that would have lapsed on or after April 10, 2020, will receive their notice indicating they now have a 90-day grace period
Payments may not be skipped; all premiums due on the policy/certificate must be paid within the 90-day grace period to keep coverage in force
LEARN MORE
* Based on paid to date.
 
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© 2020 Transamerica
04/20
                                                           

Topics: Transamerica

Written by LTCI Partners

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