We were recently notified of Lincoln’s plans to increase rates on MoneyGuard. This price increase applies to new cases only however current pricing can still be maintained. Applications must be received by Lincoln in good order no later than March 27th, 2020. NO exceptions will be made.
We will be working on running new rates for specific clients but they can expect the following increases:
- Single pays will see an increase of 8%
- Flexible premium payments will see an increase
that trends down as the duration of payments is extended:
- 5-pays increase 6.5%
- 10-pays increase 4.5%
- 15-pays increase 3.0%
- 20-pays increase 1.5%
- 25-pays increase 0.5%
This latest MoneyGuard change is for rates only. There are no changes to the product structure, contract language, forms, compensation or types of benefits provided. As a reminder, the underwriting for MoneyGuard does not involve a physical exam but rather just a telephone interview. We also now have the ability to complete applications online which will cut down on the contact and time needed from your clients.
This change by Lincoln is consistent with the persistent low interest rate environment. We have yet to be notified by other Hybrid carriers (Nationwide, Securian, or One America) of plans to change rates, but we suspect that others will follow suit. Now could be a good time for clients to take advantage of current pricing with a conservative investment that safeguards their financial futures.
We look forward to discussing this opportunity with you further.