Lincoln® Changes Term Conversion Guidelines

July 13 2016

by Creative Life Sales Team

Changes are coming to Lincoln Financial Group®’s term conversion guidelines.

Term conversion options on new term policies with policy effective dates on or after September 12, 2016, will continue to have access to the full suite of competitive permanent products through policy year seven. After year seven, policies that are eligible may convert to one of the available product(s) designated for conversion by Lincoln. A separate term product will be available for those clients who would like the ability to convert to the full product portfolio for the entire conversion period.

These term conversion changes support Lincoln’s ability to continue offering a comprehensive, competitive and relevant portfolio of term products for your clients. Their term conversion guideline practices are still among the most competitive in the industry, providing you and your clients the flexibility needed to customize their long-term plans.

Guidelines for commissions paid on permanent policies are being adjusted based upon the policy year at the time of conversion. Please note, no first-year commissions will be paid for conversions after policy year seven on inforce policies with policy effective dates prior to September 12, 2016, if the term conversion application is received on or after January 1, 2017. Please see the attached term conversion Summary of Changes Grid for details.

Lincoln’s solutions enable advisors to serve a wide range of clients depending on specific needs, regardless of age or face amount. Their term products continue to resonate in the market and grow in sales, and Lincoln remains committed to this space, as evident with the recent launch of Lincoln TermAccel®.

Click below for detailed information about these changes, and options for you and your clients to consider. Additionally, the updated term conversion guidelines will be available on July 18, 2016. As you will see, several steps have been taken to minimize the impact to inforce policyowners along with business currently in the sales process.

Summary of Changes Grid

Lincoln Leader Article

Competitive Intelligence Grid 

Compensation Examples

We believe these new guidelines are important to be aware of, so please contact your CreativeOne sales consultant if you would like more information at 800.992.2642.


CP-0802 – 2016/7/12

Related terms: Life, Products & Carriers

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