Draft Initial Premium - COD - CWA - EFT Guidelines
• Draft Next Available (PFA general guideline)
– Prepare your clients for their first premium draft at time of App, it should never be a surprise to them when their case is issued and drafted.
– Don’t worry about missing commission runs or promotions, do what is best for your client and all of those other things will fall into place in time.
– We won’t rewrite to re-date policies, if you or your client do not want a case issued until a specific date and time, you need to communicate that to the case manager prior to the policy being issued.
• E-App now Offers the option to choose separate initial draft dates and separate reoccurring dates
What that means is you can still leave initial premium as Next Available, and then select a reoccurring date based on the client’s wishes.
• COD: Collect On Delivery (against PFA policy)
– More work for you to mail check copies in after issue
– Need to now collect a 1707 EFT form at delivery and send in
– Delays commissions and promotions
– Risk of losing sale at time of delivery
• CWA: Cash With App: Client physically writes a check to NLG at time of sale. You must mail it in immediately or provide an email copy at time of submit
– Checks physically mailed in will be debited within 48 hours
– Check copies emailed in need confirmation original physical check WON’T be mailed in and will then be debited within 48 hours
– Mailing and Emailing will result in your clients account being double drafted, so don’t do that.
– Debits can and majority of the time will occur prior to issue (even approval)
• When to Submit a new 1707 – EFT Form
– When your client elected a specific draft date and they now what to change it to next available
– When the Depositor changes
– When you want to avoid a 10 day notice
Example: Your client filled out Part F of the Application for a specific dollar amount. But the policy has had changes (Face, rate class etc.) and the PPP has now increased beyond the $25 box