State Life – Strategic Changes

Strategic Changes

We continue to monitor the fluid situation with the implementation of the Department of Labor’s (DOL) Conflict of Interest Rule, also known as the fiduciary rule.

However, regardless of the status of the fiduciary rule, the following change will go into effect on April 10 (details are farther below):
* Care Solutions will discontinue ImmediateCare Plus for new business.
In addition, please be aware that the following changes – which are more fluid based on the status of the fiduciary rule – are currently scheduled for implementation on April 10 (details are farther below):
* Care Solutions annuity funding changes

* A new disclosure form will be required when submitting new business with qualified money

We continue to monitor the fluid situation with the DOL rule implementation. Any changes or delays to the rule will be reviewed and, if needed, an updated communication will be sent.
Details about Care Solutions annuity funding and product changes
Changes effective April 10, 2017
ANNUITY FUNDING CHANGES
As of April 10, 2017 we will no longer accept qualified funds as premium sources for the following Care Solutions annuity products: Annuity Care, Indexed Annuity Care, and Legacy Care. Going forward, these products will only accept nonqualified funds. Qualified funds will continue to be accepted on Asset-Care III and ImmediateCare.
IMMEDIATECARE PLUS ONLY AVAILABLE AS LEGACY CARE CONVERSION
Also as of April 10, 2017, ImmediateCare Plus will no longer be available for new business sales. It will remain only as a conversion option for Legacy Care. The ImmediateCare SPIA product is unaffected by this change, and will remain available for new business sales.
FINAL DATES
Completed applications for Annuity Care, Indexed Annuity Care and Legacy Care with qualified funding sources or for ImmediateCare Plus must be received in the Home Office by close of business on Friday, April 7. All applications received after that date will be returned to the agent. The change will take effect assuming full implementation of the DOL fiduciary rule.
NEW FORM FOR QUALIFIED BUSINESS
The Prohibited Transaction Exemption 84-24 disclosure form will be available on the forms site and in e-applications. The 84-24 form must be completed for qualified applications on Asset-Care III and ImmediateCare SPIA. Please complete and submit the form in the manner that you normally submit business to OneAmerica.
Posted in Bulletins.