With the increase in payment returns by financial institutions, we wanted to ensure that your clients' policies are not at risk.
New measures have been introduced to give clients additional time to rectify the situation if their payment has not been successfully debited for any of the following reasons:
- Insufficient funds: the missed payment will be rolled into the next month's payment, along with a $25 administrative fee. The one-time double payment and administrative fee will be debited on the pre-authorized payment date of the following month. Alternatively, the client may contact us to pay the outstanding amount earlier to avoid a double payment.
- Initial premium (for any reason): an email will be sent to the service agent to contact the client within 5
business days. Since the first premium could not be debited the policy will be cancelled. If we do not receive further instructions, we will send a letter to the client and the service agent confirming that the policy will remain cancelled.
- Other reasons (stop payment, closed accounts, etc.): we will suspend pre-authorized payments and notify the client and the service agent.
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