|
|
| The Standard is pleased to announce | |
| Changes to the Future Purchase Option (FPO) Rider on The ProtectorSM policies sold between 2000 and 2003. | |
| Previously FPO exercises under The Protector policies sold between 2000 and early 2003* had limitations on what percentage of the FPO pool could be exercised. For example, some policyholders were limited to exercising no more than 10% of the FPO option pool. This made it difficult for increases in their individual disability insurance coverage to align with increases in their income. | |
| Some policies issued in 2003 already have the current FPO exercise rules. This change does not apply to those policies. The change does apply to all The Protector policies issued in Massachusetts, regardless of issue date. In all cases, under these changes, insureds will receive the better of available options. | |
| Effective immediately, The Standard allows FPO exercises on these existing The Protector policies* so they may benefit from current FPO option rules. Before these changes, eligibility for FPO increases for these policies was based on age at the time of original policy purchase. Under this change, eligibility will be determined using the insured's age as of the effective date of the FPO increase. | |
|
*Aside from the changes to the FPO Rider detailed above, all other terms of the policy and any policy riders shall remain in effect. |
|
|
|
|
**The terms and conditions of the contract will determine eligibility for increases beyond age 50. If this change results in a greater benefit than what the contract states for The Protector policy, The Standard will honor whichever benefit amount is greater. |
|
| Transition Rules for pending FPO policies: | |
| Pending IDI applications for FPO increases that are in underwriting or have been recently issued, but not yet placed, may be eligible for a higher FPO exercise amount. Please contact dichanges@standard.com. | |
|
|
|
| Questions |
If you have questions, as always we are happy to help you. Please contact us at getinfo@standard.com or call 800.992.4446. |
|
|
|
|
Please forward to your producers
For Producer use only. Not For use with Consumers.
|
|
|
Unsubscribe to The Standard DI News and DI Summary News. Privacy Policy.
Standard Insurance Company, Individual Disability Insurance,
1100 SW Sixth Avenue, Portland, OR 97204, USA.
|
|