An Executive Order issued by New York Governor Andrew Cuomo, together with recent amendments to the insurance and banking regulations issued by the New York State Department of Financial Services, has extended grace periods for those able to demonstrate financial hardship as a result of the COVID-19 pandemic. These grace periods and rights are currently in effect and could potentially be extended, but are temporary.
If you can demonstrate financial hardship as a result of the coronavirus pandemic, your life insurance carrier must extend to 90 days the applicable grace period for the payment of premiums and fees under your life insurance policy. If you do not make a timely premium payment and can demonstrate financial hardship as a result of the COVID-19 pandemic, your life insurance carrier cannot impose any late fees relating to the premium payment or report you to a credit reporting agency or a debt collection agency regarding such premium payment.
The regulations also require your life insurance carrier to permit you to pay the overdue premium over a 12-month period if you did not make a timely premium payment due to financial hardship as a result of COVID-19 and can still demonstrate financial hardship as a result of the coronavirus pandemic.
Demonstrating Financial Hardship
If you are unable to make a timely premium payment due to financial hardship as a result of the COVID-19 pandemic, reach out to your life insurance carrier directly.
At SelectQuote, we sincerely appreciate your business and wish you and your loved ones health and security during this unprecedented time. A copy of the Executive Order and regulations can be found here.
Contact Your Life Insurance Carrier
For specific details regarding your policy, please contact your provider.
The Lincoln National Life Insurance Company
Protective Life Insurance Company
Prudential Life Insurance Company
William Penn Life Insurance Company of New York