Beginning April 1, 2016 the MutualCare® Solutions electronic and paper application will be updated to include the new enhancement of the Automatic Bank Account Withdrawal option. This option will automatically draft the initial premium of your client’s bank account within three days of receipt of their application. The new option, along with the current processes, will be in section K of the updated application. Click here for the original Mutual of Omaha bulletin.
How it works
- Process WITHOUT shortage at issue
- Process WITH shortage at issue
For Premium Shortage Only
- If there is a premium shortage due at issue, a notification letter will be sent to the policyholder
- If the time between the day of the month of the Automated Bank Withdrawal draft and the date the policy is issued is 20 days or less, the shortage amount will be withdrawn the following month. Otherwise the draft will occur within the same month
- If Direct Bill is selected for recurring premium payment method, the shortage balance will be billed with policy issue
What You Need to Know
- New and pending business issued on or after April 1, 2016 will follow this new process
- Electronic and paper applications will be updated to include the new premium option and paper applications will be available in Forms and Materials on Sales Professional Access
If you need additional information the MutualCare® Solutions Product and Underwriting guide is updated to include this information and available to order. For additional questions please contactsales.support@mutualofomaha.com or 1-800-693-6083.