Questions for Vets! Simple question. I would like to get a standard procedure when crossing over policies. Caught between canceling policy just before payment date and/or end of month and starting new policy on payment date. Some companies are slower than other at stopping EFT. Speaking from bad experience once fax cancellation letter to fax number provided ;however, account still drafted three day later. How do you'll usually crossing over policies?
Crossing Over Policies
- Thread starter torri
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I'm not 100% sure what question you are asking, but I do know you need to find out a bit more about EFT transfers. They frequently cannot be stopped within 3 days of the draft date. I know, in today's modern world, you would think they could be stopped virtually instantly, but it doesn't work that way.
Dan
Dan
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- #3
- 11,280
You waiting more time than needed to cross policies. Me do 5 days be fore cross cross.
Once new policy is approved kill the old one...
- Thread starter
- #6
Peer, with this method, some companies do not prorate half a month premium and the client has to pay full payment at beginning of month . Client not too happy about that.
- 11,280
I assume you are talking about Medicare supplements. When you take an app, you should have a pretty good idea if it is getting issued. I would say more than 99% of the ones I take get issued. At the time you take the application you can have them call the current company right away and cancel the EFT or you can have them sign a form and you can fax it in for them.
I am not sure why you would make a supplement effective for any day except for the 1st of the month unless they do not already have one in place, so I do not see the need for companies to pro rate them although all of the companies I work with will pro rate them. Which companies will not?
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