Principal is making it easier than ever to keep that “flow business” flowing with reduced term rates. Combine rates like these with Accelerated Underwriting, and this kind of business can almost go on auto pilot, allowing agencies to focus on what really matters in Q4: The large case that can make a good year a great one. Read on for the details.

Principal Financial Announces New, Reduced Term Rates

Principal’s new rates, effective yesterday, September 21st, are focused on improved competitive positions in both the Standard and Super Standard Non-tobacco rate classes in the following key areas:

  • Face amounts of less than $1MM
  • Term durations of 10 and 15 years
  • Ages 65 – 75

Transition Rules

September 21, 2015

  • New rates are available and approved in all states.
  • All new Term applications processed on this date, or after, will receive the new rates unless January 2015 rates are specifically requested.

Cases Pending on September 21, 2015

  • Applications in underwriting will be issued with the new Term rates unless January 2015 rates are specifically requested.
  • No new application or quotation is required.

Recently Issued Policies (COD, Offer or Shortage)

  • January 2015 rates will be used.
  • If new Term (September 2015) rates are desired, simply indicate this with the delivery requirements and submit the correct premium amount. New data pages will be mailed to the client.


  • Backdating is allowed to save age per current backdating rules.

State Approvals

  • All states have approved the new September 2015 rates.

Conversion Rules

  • Principal has removed the requirement that new or existing term policies must be in force for 2 years prior to conversions to Principal Universal Life Protector IV or Survivorship Universal Life Protector II. Timing eligibility for conversion to permanent products is now the same for all eligible products.

Additional Resources from Principal Financial