POS CONVERSIONS
CONVERSIONS
There are 2 types of conversions
1. Term conversion
2. ADB conversion (this is actually not a conversion, it is an add-on)
You can convert all term products guaranteed with no medical questions
Remember if a family is at a younger age and relies on the paycheck, don’t convert, you would do an add-on
Let’s review:
CONVERSIONS
Term conversion (guaranteed)
10RC, 4RC, Term to 65 – convertible up to age 63
15 and 30 year decreasing term – up to year 13 or 28 of the policy
20 year level term - up to year 18 of the policy
CONVERSIONS
ADB conversion
This is not a conversion, this is an add-on
�You will let them know that part of their coverage is accidental only and they need to get that fixed
This will be done on eapp as it is an add on
Also very important, you will NEVER cancel out their ADB, this will be a replacement
CONVERSIONS
When planting the seed, compliment the program and ask a question“ is there a reason that part of your program is temporary and part of the program is permanent?
Explain the difference between temporary and permanent (use the POS diagram on aocentral)
Lets review:
CONVERSIONS
CONVERSIONS
Here we see that the member has 83,200 in coverage and annually pays $857.79 for just that 10RC product which is $71.48 a month (their total premium monthly is $140.05)
Take the annual amount and divide by 12 months - $857.79/12= $71.48
HP-PRO
Click on the pre-plan when you launch hp-pro
Type in name, age, gender, tobacco status and state
HP-PRO
Check the whole life box and enter in the amount of term you are converting
Remember their term in this example from their policy sheet was 83,200. We enter this and it tells us how much the monthly is
We can now subtract to determine the increase
$250.58 - $71.48 = $179.10
$857.79/12= $71.48
HP-PRO
We also need to understand that this particular example is an executive whole life policy so that we know what to enter on the application
Whole life up to 34,999 = 60% commission / 3% renewal
Preferred life up to 79,999 = 57.5% commission / 2.25% renewal
Executive life up to 119,000 = 53.5% commission / 2% renewal
Select life over 120,000 = 41.50% commission / 2% renewal
CONVERSIONS
Anytime you do a conversion:
It must be done on a paper app, can’t be eapp
Go to aocentral, pos section, paper apps, use the correct state
Fill out the entire document (you don’t need to ask the medical questions but they do need filled out)
83,200
$250.58
On the paper app, enter the amount of coverage that you are converting and the premium. You will enter the full premium, not just the increase.
Convert 10RC policy #1234567.
Enter in the notes the conversion of the term and the policy number
CONVERSIONS
All conversions must be sent to paperapps@altig.com
All paper apps must have a transmittal in the email, you can find this on aocentral, pos section, here is how to complete it:
CONVERSIONS
Remember a few things on conversions:
Only convert in situations where it makes sense, sometimes add-ons are best for the member
Their 1st payment will be the full amount, not just the increase, you need to let them know this. Their 2nd payment will have the increase. This is because it is a conversion. If they died while the conversion is taking place, they will actually have 2 policies pay out
They must always be done on a paper app – email to paperapps@altig.com
Use your script