Weekly Tip: Filing Pre-Need Policies with the Insurance Compact

 

Weekly Tips

 Filing Pre-Need Policies with the Insurance Compact

8/24/2016

In this week’s weekly tip, we wanted to answer a few questions that the Insurance Compact Reviewers are often asked – Can we file a pre-need policy with the Insurance Compact? If so, which Uniform Standards apply?

Yes, companies may file pre-need policies with the Insurance Compact. Company filers will want to review the Individual Whole Life Insurance Policy Standards (IIPRC-L-07-I) as a starting point for their product development. In addition, the product filing may need to comply with the Additional Standards for Graded Death Benefit for Individual Whole Life Insurance Policies (IIPRC-L-07-I-4), individual state insurance department requirements for selling pre-need policies, as well as requirements for small face amount life insurance. As with all product filings submitted, the policy will need to meet all of the requirements set forth within the Uniform Standards.

As a refresher on the Standard History for the Whole Life Insurance Policy Standards, the original adopted version included a statement in the Scope provision which specified that plans sold in connection with pre-need funeral arrangements are outside the scope of these standards. As a result of changes recommended during Phase 1 of the Insurance Compact’s Five-Year Review Process, the amended version of the Uniform Standard, effective December 2014, no longer includes this statement.

Another tool available to assist with the development of your product filing submission is SERFF Filing Access. Insurance Compact product filing submissions are available through SERFF Filing Access upon approval. By researching and reviewing approved filings, you can gain a better understanding of the types of products and specific language and provisions that have been approved by the IIPRC. You can access SERFF Filing Access through the homepage of the IIPRC Website, or at https://filingaccess.serff.com/sfa/home/insurancecompact.

If you have specific questions about your product filing submission after reviewing this Weekly Tip, please reach out to the Insurance Compact Office by submitting a Pre-Filing Communication Form to Comments@insurancecompact.org.