Nationwide Expands Guaranteed Term Conversion to Survivorship - Effective 7/1/2024
06-20-2024
New and existing customers with a Nationwide Guaranteed Level Term (GLT) policy have been able to convert to most permanent life insurance policies that are offered at the time of the conversion. Nationwide is excited to announce that survivorship policies are now included in the conversion rules, effective July 1, 2024.
New Conversion Privilege Endorsement Details
The total specified amount of the survivorship policy can be up to the current total of the 2 term policies’ specified amounts, up to $5 million.
For example:
1.) 2 Term policies with $2 million face amounts each can convert up to $4 million for the survivorship policy
2.) 2 Term policies with $3 million face amounts each can convert up to $5 million for the survivorship policy
3.) 1 Term policy for $2 million and 1 Term policy for $2.5 million can convert up to $4.5 million for the survivorship policy
The original Term policies must have been issued at Table C or better.
If the policy includes an extended no-lapse guarantee, it must have a maximum attained age of at least 90 to be considered permanent.
Please keep in mind that additional underwriting is required to add a new rider to the permanent product, including Long Term Care. Conversion cannot be made to CareMatters products.
Conversion Periods for Nationwide Guaranteed Level Term product
During the periods outlined below, a Nationwide Guaranteed Level Term policy may be converted to a permanent life insurance policy without evidence of insurability. Conversion is allowed before attained age 65.
- 10-year term: first 10 policy years
- 15-year term: first 15 policy years
- 20-year term: first 20 policy years
- 30-year term: first 20 policy years
Please let us know if you have any questions on our newest updates to these guaranteed conversion rules.