Direct billing – A billing notice is mailed to you 22 days prior to your premium due date.
Credit card – Premiums are billed monthly to your American Express, Discover, MasterCard, or Visa credit card. (This option is only available at the time of contract issue.)
• Your term life insurance policy has entered a renewal period.
• Your Additional Insured Rider or Annual Renewable Term Rider has entered a new renewal period.
• You increased or decreased your face amount on the policy since the last billing cycle.
• You added or removed a rider or benefit from your policy since the last billing cycle.
• A rider on the contract has reached its natural expiry.
• You changed the planned periodic premium on your universal life policy.
• A temporary rating has reached the end of its rating period.
If the past due premium is not paid by the time the grace period ends, the contract terminates. The grace period is usually 31 days but consult your insurance contract or call the Customer Service department at (800) 233-3750 ext. 503 to verify.
Whole Life policies:
The grace period is usually 31 days but consult your insurance contract or call the Customer Service department at (800) 233-3750 ext. 503 to verify. If your policy has sufficient cash surrender value, you may be able to keep your coverage in-force beyond the grace period without paying premiums via the non-forfeiture option you chose when you applied for your coverage. Available non-forfeiture options may include:
Automatic Premium Loan: Any unpaid premium is automatically paid with a premium loan against your policy’s cash surrender value. Premium loans accrue interest at the rate stated in your contract.
Extended Term Coverage: Your policy’s cash value is used as a single premium to purchase term insurance with the same face amount as your existing policy. The amount of that premium determines how long the term insurance will stay in force (only available with some whole life policies).
Paid-Up Contract: Your policy’s cash value is used as a single premium to purchase a paid-up policy. The amount of that single premium determines the face amount of the new policy.
Universal life policies: We allow a grace period of 61 days for this type of policy. Each month we deduct expense charges from your accumulation account. Whether or not you pay a premium, your policy will stay in force as long as the cash surrender value of your accumulation account is sufficient to cover these monthly charges. If not, the policy will lapse after the 61st day of the grace period.
If you do not know your current non-forfeiture option or would like to request a change to this option, contact the Customer Service department at (800) 233-3750 ext. 503.