REPAYMENT PLAN TERMS AND CONDITIONS - GENERAL

You have elected to enroll in an interest free, repayment plan offered by New York Life (repayment plan).  This repayment plan gives you the ability to pay the scheduled premiums, or the Monthly Deduction Charges that were due but not paid during the temporary pause on policy cancellations that prevented your policy from lapsing through June 23, 2020 plus an amount to keep your coverage in force for an additional two months (total repayment amount).  The repayment plan does not include any payments into the Option to Purchase Paid-up Additions (OPP) rider that were not paid.  In order to maintain your life insurance coverage, you will need to begin repaying the total repayment amount and resume your regularly scheduled payments after the temporary pause ends on June 23, 2020. 

How the repayment plan will work
In addition to any future premiums or Monthly Deduction Charges that are due on your policy, each month you will be billed an amount that is equal to one twelfth (1/12) of the total repayment amount due (monthly repayment amount).  If this monthly repayment amount is not paid on or before the due date indicated on the notice we send to you or you do not have sufficient Cash Surrender Value (or Net Cash Value, if applicable) to pay your Monthly Deduction Charges and any portion of the monthly repayment amount, your policy will lapse in accordance with its terms (please see below for additional details). You can elect to pay more than the monthly repayment amount due at any time, but you can never pay less than the monthly repayment amount due. 

Any life insurance benefits paid will be reduced by any amounts owed to us, including any part of the total repayment amount due but not paid.  Any part of the total repayment amount due but not paid cannot be accessed through the policy’s cash surrender value or by a policy loan.  If your policy lapses according to its terms and you elect to reinstate your policy, you will be required to pay all amounts due according to the terms of your policy, including any part of total repayment amount that was due but not paid. 

If you do not pay the repayment amount due
If you have a term policy and do not pay the scheduled premium or the monthly repayment amount due, your policy will lapse in accordance with its terms. 

If you have a whole life policy and do not pay the scheduled premiums or the monthly repayment amount due, you may elect to pay the monthly repayment amount from the policy’s cash surrender value or by taking a loan from your policy.  If you have elected to have premiums automatically paid from your policy’s cash surrender value and there is sufficient cash surrender value in your policy, the monthly repayment amount due will be deducted from your policy’s cash surrender value.  If you have elected to have premiums automatically paid by policy loan and there is sufficient loan value, a policy loan will automatically be taken from your policy to pay the monthly repayment amount due.  If you have not previously elected to have premiums paid from the policy’s cash surrender value or by taking an automatic policy loan, your agreement to these terms and conditions allows us to automatically pay the monthly repayment amount due by policy loan.  Any loan against your policy used to pay premiums or the monthly repayment amount will accrue interest in accordance with the terms of your policy.  Any loan interest that you do not pay when due will be added to the policy’s outstanding principal and will also accrue interest. Policy loan interest is due on the dates specified in your policy. The interest rate will never be more than the maximum loan interest rate stated in your policy. The total outstanding loan balance, which includes accrued loan interest, reduces your policy’s available cash surrender value and any life insurance benefits paid. You can repay all or a part of your total outstanding loan balance at any time while your policy is in effect.  If you do not pay the scheduled premium or monthly repayment amount due and there is insufficient cash surrender value in your policy to pay the amount owed or take a policy loan, your policy will lapse in accordance with its terms.

For universal life policies, if you do not pay the monthly repayment amount due and if the cash surrender value is sufficient to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, the monthly repayment amount due will be taken as a Monthly Deduction Charge.  Your policy will enter the late period and lapse in accordance with its terms if:

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For variable universal life policies, the total repayment amount will be credited to the Fixed Account and any unpaid portion of the total repayment amount cannot be removed from the Fixed Account.  If you do not pay the monthly repayment amount due and if the cash surrender value (or net cash value, if applicable) is greater than the Monthly Deduction Charges plus the monthly repayment amount that will be charged for the following month, then the monthly repayment amount due will be taken as a Monthly Deduction Charge from the available Fixed Account balance first, and if that is insufficient to pay the amount due, from the Separate Account balance.  Your policy will enter the late period and lapse in accordance with its terms if:

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value (or net cash value, if applicable) to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value (or net cash value, is applicable) is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For policies with more than one owner, any owner(s) that did not provide their approval at the time of election have the right to rescind enrollment.


Any policy that was issued and had the first premium paid prior to March 24th, 2020, and that would have lapsed, foreclosed or entered the grace period between March 24th, 2020 and June 23rd, 2020: 

FINANCIAL HARDSHIP TERMS AND CONDITIONS – DNL POPULATION GENERAL

You have opted into a Financial Hardship program offered by New York Life that will prevent your policy from lapsing if you are not able to pay your premium or monthly deduction charges due on your policy for up to an additional period of ninety (90) days. As your policy has already been part of the temporary pause on cancellation of policies from March 24, 2020 to June 23, 2020, this additional 90-day period begins on June 24, 2020 and is subject to a 180-day maximum from when your policy first entered the late period.  During this additional period, your policy will not be lapse for any reason.

Enrolling in the program
In order to enroll in the program, you must demonstrate financial hardship.  Proof of this financial hardship can include any of the following:

  • Proof of job loss, including notice of termination or confirmation of unemployment benefits
  • Proof of income loss, including pay statements, tax returns, attestation of income loss from an attorney, accountant, or tax advisor
  • Proof of illness and/or caretaker status, including medical payments or a physician’s statement

Documents showing proof of financial hardship can be uploaded below or sent to New York Life’s Service Center by sending a fax to 800-278-4117 or sending an e-mail to myinfo@newyorklife.com.

We encourage you to send documents by uploading or faxing them.  While we are prepared to receive documents by email, please understand that we have no control over its security while it is in transit to New York Life.

Once we have received proof of your financial hardship and determined you are eligible for the program, your policy will not lapse for up to an additional period of 90 days.  After this period, you will be automatically enrolled in a program that allows you to re-pay the amount that would have been due to keep your policy active (the total repayment amount).  You can repay this amount interest free, over a 12- or 24-month period. We will determine the length of your repayment period and the monthly repayment amount.  During this 12- or 24-month period, your policy will remain active, provided you pay your scheduled premiums (for Term and Whole Life policies), your Cash Surrender Value (or Net Cash Value, if applicable) is greater than your Monthly Deduction Charges (for Universal Life and Variable Universal Life policies), and you continue to pay your monthly repayment amount as described in the Repayment Plan Terms and Conditions.  Before your first monthly payment is due, we will send you the total repayment amount, your repayment period (12 or 24 months), and the monthly repayment amount. 

REPAYMENT PLAN TERMS AND CONDITIONS

As part of the Financial Hardship program, you will automatically be enrolled in an interest free repayment plan.  This repayment plan gives you the ability to pay the scheduled premiums, or the Monthly Deduction Charges that were due but not paid during the temporary pause on policy cancellations that prevented your policy from lapsing starting on June 24, 2020 and is subject to a 180-day maximum from when your policy first entered the late period plus an amount to keep your coverage in force for an additional two months (total repayment amount).  The repayment plan does not include any payments into the Option to Purchase Paid-up Additions (OPP) rider that were not paid.  In order to maintain your life insurance coverage, you will need to begin repaying the total repayment amount and resume your regularly scheduled payments after the temporary pause on your policy ends.  

How the repayment plan will work
In addition to any future premiums or Monthly Deduction Charges that are due on your policy, each month you will be billed an amount that is equal to one twelfth (or one twenty-fourth) of the total repayment amount due (monthly repayment amount).  If this monthly repayment amount is not paid on or before the due date indicated on the notice we send to you or you do not have sufficient Cash Surrender Value (or Net Cash Value, if applicable) to pay your Monthly Deduction Charges and any portion of the monthly repayment amount, your policy will lapse in accordance with its terms (please see below for additional details). You can elect to pay more than the monthly repayment amount due at any time, but you can never pay less than the monthly repayment amount due.  

Any life insurance benefits paid will be reduced by any amounts owed to us, including any part of the total repayment amount due but not paid.  Any part of the total repayment amount due but not paid cannot be accessed through the policy’s cash surrender value or by a policy loan.  If your policy lapses according to its terms and you elect to reinstate your policy, you will be required to pay all amounts due according to the terms of your policy, including any part of total repayment amount that was due but not paid.  

If you do not pay the repayment amount due
If you have a term policy and do not pay the scheduled premium or the monthly repayment amount due, your policy will lapse in accordance with its terms.  

If you have a whole life policy and do not pay the scheduled premiums or the monthly repayment amount due, you may elect to pay the monthly repayment amount from the policy’s cash surrender value or by taking a loan from your policy.  If you have elected to have premiums automatically paid from your policy’s cash surrender value and there is sufficient cash surrender value in your policy, the monthly repayment amount due will be deducted from your policy’s cash surrender value.  If you have elected to have premiums automatically paid by policy loan and there is sufficient loan value, a policy loan will automatically be taken from your policy to pay the monthly repayment amount due.  If you have not previously elected to have premiums paid from the policy’s cash surrender value or by taking an automatic policy loan, your agreement to these terms and conditions allows us to automatically pay the monthly repayment amount due by policy loan.  Any loan against your policy used to pay premiums or the monthly repayment amount will accrue interest in accordance with the terms of your policy.  Any loan interest that you do not pay when due will be added to the policy’s outstanding principal and will also accrue interest. Policy loan interest is due on the dates specified in your policy. The interest rate will never be more than the maximum loan interest rate stated in your policy. The total outstanding loan balance, which includes accrued loan interest, reduces your policy’s available cash surrender value and any life insurance benefits paid. You can repay all or a part of your total outstanding loan balance at any time while your policy is in effect.  If you do not pay the scheduled premium or monthly repayment amount due and there is insufficient cash surrender value in your policy to pay the amount owed or take a policy loan, your policy will lapse in accordance with its terms.

For universal life policies, if you do not pay the monthly repayment amount due and if the cash surrender value is sufficient to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, the monthly repayment amount due will be taken as a Monthly Deduction Charge.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For variable universal life policies, the total repayment amount will be credited to the Fixed Account and any unpaid portion of the total repayment amount cannot be removed from the Fixed Account.  If you do not pay the monthly repayment amount due and if the cash surrender value (or net cash value, if applicable) is greater than the Monthly Deduction Charges plus the monthly repayment amount that will be charged for the following month, then the monthly repayment amount due will be taken as a Monthly Deduction Charge from the available Fixed Account balance first, and if that is insufficient to pay the amount due, from the Separate Account balance.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value (or net cash value, if applicable) to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value (or net cash value, is applicable) is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For policies with more than one owner, any owner(s) that did not provide their approval at the time of election have the right to rescind enrollment.

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Policies that are Paid to Date through June 23rd, 2020 and either miss a premium payment (Whole Life and Term) or enter the grace period (Universal Life and Variable Universal Life) between June 24th, 2020 and December 31st, 2020:

FINANCIAL HARDSHIP TERMS AND CONDITIONS – NON DNL POPULATION GENERAL

You have opted into a Financial Hardship program offered by New York Life that will prevent your policy from lapsing if you are not able to pay your premium or monthly deduction charges due on your policy for a period of ninety (90) days. During this period, your policy will not lapse for any reason.

Enrolling in the program
In order to enroll in the program, you must demonstrate financial hardship.  Proof of this financial hardship can include any of the following:

  • Proof of job loss, including notice of termination or confirmation of unemployment benefits
  • Proof of income loss, including pay statements, tax returns, attestation of income loss from an attorney, accountant, or tax advisor
  • Proof of illness and/or caretaker status, including medical payments or a physician’s statement

Documents showing proof of financial hardship can be uploaded below or sent to New York Life’s Service Center by sending a fax to 800-278-4117 or sending an e-mail to myinfo@newyorklife.com.

We encourage you to send documents by uploading or faxing them.  While we are prepared to receive documents by email, please understand that we have no control over its security while it is in transit to New York Life.

Once we have received proof of your financial hardship and determined you are eligible for the program, your policy will not lapse for up to an period of 90 days.  After this period, you will be automatically enrolled in a program that allows you to re-pay the amount that would have been due to keep your policy active (the total repayment amount).  You can repay this amount interest free, over a 12- or 24-month period. We will determine the length of your repayment period and the monthly repayment amount.  During this 12- or 24-month period, your policy will remain active, provided you pay your scheduled premiums (For Term and Whole Life policies), your Cash Surrender Value (or Net Cash Value, if applicable) is greater than your Monthly Deduction Charges (for Universal Life and Variable Universal Life policies), and you continue to pay your monthly repayment amount as described in the Repayment Plan Terms and Conditions.  Before your first monthly payment is due, we will send you the total repayment amount, your repayment period (12 or 24 months), and the monthly repayment amount. 

REPAYMENT PLAN TERMS AND CONDITIONS

As part of the Financial Hardship program, you will automatically be enrolled in an interest free repayment plan.  This repayment plan gives you the ability to pay the scheduled premiums, or the Monthly Deduction Charges that were due but not paid during the temporary pause on policy cancellations that prevented your policy from lapsing for 90 days plus an amount to keep your coverage in force for an additional two months (total repayment amount).  The repayment plan does not include any payments into the Option to Purchase Paid-up Additions (OPP) rider that were not paid.  In order to maintain your life insurance coverage, you will need to begin repaying the total repayment amount and resume your regularly scheduled payments after your 90 day temporary pause period ends.  

How the repayment plan will work
In addition to any future premiums or Monthly Deduction Charges that are due on your policy, each month you will be billed an amount that is equal to one twelfth (or one twenty-fourth) of the total repayment amount due (monthly repayment amount).  If this monthly repayment amount is not paid on or before the due date indicated on the notice we send to you or you do not have sufficient Cash Surrender Value (or Net Cash Value, if applicable) to pay your Monthly Deduction Charges and any portion of the monthly repayment amount, your policy will lapse in accordance with its terms (please see below for additional details). You can elect to pay more than the monthly repayment amount due at any time, but you can never pay less than the monthly repayment amount due.  

Any life insurance benefits paid will be reduced by any amounts owed to us, including any part of the total repayment amount due but not paid.  Any part of the total repayment amount due but not paid cannot be accessed through the policy’s cash surrender value or by a policy loan.  If your policy lapses according to its terms and you elect to reinstate your policy, you will be required to pay all amounts due according to the terms of your policy, including any part of total repayment amount that was due but not paid.  

If you do not pay the repayment amount due
If you have a term policy and do not pay the scheduled premium or the monthly repayment amount due, your policy will lapse in accordance with its terms.  

If you have a whole life policy and do not pay the scheduled premiums or the monthly repayment amount due, you may elect to pay the monthly repayment amount from the policy’s cash surrender value or by taking a loan from your policy.  If you have elected to have premiums automatically paid from your policy’s cash surrender value and there is sufficient cash surrender value in your policy, the monthly repayment amount due will be deducted from your policy’s cash surrender value.  If you have elected to have premiums automatically paid by policy loan and there is sufficient loan value, a policy loan will automatically be taken from your policy to pay the monthly repayment amount due.  If you have not previously elected to have premiums paid from the policy’s cash surrender value or by taking an automatic policy loan, your agreement to these terms and conditions allows us to automatically pay the monthly repayment amount due by policy loan.  Any loan against your policy used to pay premiums or the monthly repayment amount will accrue interest in accordance with the terms of your policy.  Any loan interest that you do not pay when due will be added to the policy’s outstanding principal and will also accrue interest. Policy loan interest is due on the dates specified in your policy. The interest rate will never be more than the maximum loan interest rate stated in your policy. The total outstanding loan balance, which includes accrued loan interest, reduces your policy’s available cash surrender value and any life insurance benefits paid. You can repay all or a part of your total outstanding loan balance at any time while your policy is in effect.  If you do not pay the scheduled premium or monthly repayment amount due and there is insufficient cash surrender value in your policy to pay the amount owed or take a policy loan, your policy will lapse in accordance with its terms.

For universal life policies, if you do not pay the monthly repayment amount due and if the cash surrender value is sufficient to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, the monthly repayment amount due will be taken as a Monthly Deduction Charge.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For variable universal life policies, the total repayment amount will be credited to the Fixed Account and any unpaid portion of the total repayment amount cannot be removed from the Fixed Account.  If you do not pay the monthly repayment amount due and if the cash surrender value (or net cash value, if applicable) is greater than the Monthly Deduction Charges plus the monthly repayment amount that will be charged for the following month, then the monthly repayment amount due will be taken as a Monthly Deduction Charge from the available Fixed Account balance first, and if that is insufficient to pay the amount due, from the Separate Account balance.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value (or net cash value, if applicable) to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value (or net cash value, is applicable) is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For policies with more than one owner, any owner(s) that did not provide their approval at the time of election have the right to rescind enrollment.


Any policy that was issued in NY and NJ and had the first premium paid prior to March 24th, 2020, and that would have lapsed, foreclosed or entered the grace period between March 24th, 2020 and June 23rd, 2020:

FINANCIAL HARDSHIP TERMS AND CONDITIONS – DNL POPULATION NY/NJ

You have opted into a Financial Hardship program offered by New York Life that will prevent your policy from lapsing if you are not able to pay your premium or monthly deduction charges due on your policy for up to an additional period of ninety (90) days. As your policy has already been part of the temporary pause on cancellation of policies from March 24, 2020 to June 23, 2020, this additional 90-day period begins on June 24, 2020 and is subject to a 180-day maximum from when your policy first entered the late period.  During this additional period, your policy will not be lapse for any reason.

Enrolling in the program
Once we have processed your enrollment, your policy will not lapse for up to an additional period of 90 days.  After this period, you will be automatically enrolled in a program that allows you to re-pay the amount that would have been due to keep your policy active (the total repayment amount).  You can repay this amount interest free, over a 12- or 24-month period. We will determine the length of your repayment period and the monthly repayment amount.  During this 12- or 24-month period, your policy will remain active, provided you pay your scheduled premiums (for Term and Whole Life policies), your Cash Surrender Value (or Net Cash Value, if applicable) is greater than your Monthly Deduction Charges (for Universal Life and Variable Universal Life policies), and you continue to pay your monthly repayment amount as described in the Repayment Plan Terms and Conditions.  Before your first monthly payment is due, we will send you the total repayment amount (12 or 24 months), your repayment period, and the monthly repayment amount. 

REPAYMENT PLAN TERMS AND CONDITIONS

As part of the Financial Hardship program, you will automatically be enrolled in an interest free repayment plan.  This repayment plan gives you the ability to pay the scheduled premiums, or the Monthly Deduction Charges that were due but not paid during the temporary pause on policy cancellations that prevented your policy from lapsing starting on June 24, 2020 and is subject to a 180-day maximum from when your policy first entered the late period plus an amount to keep your coverage in force for an additional two months (total repayment amount).  The repayment plan does not include any payments into the Option to Purchase Paid-up Additions (OPP) rider that were not paid.  In order to maintain your life insurance coverage, you will need to begin repaying the total repayment amount and resume your regularly scheduled payments after the temporary pause on your policy ends.  

How the repayment plan will work
In addition to any future premiums or Monthly Deduction Charges that are due on your policy, each month you will be billed an amount that is equal to one twelfth (or one twenty-fourth) of the total repayment amount due (monthly repayment amount).  If this monthly repayment amount is not paid on or before the due date indicated on the notice we send to you or you do not have sufficient Cash Surrender Value (or Net Cash Value, if applicable) to pay your Monthly Deduction Charges and any portion of the monthly repayment amount, your policy will lapse in accordance with its terms (please see below for additional details). You can elect to pay more than the monthly repayment amount due at any time, but you can never pay less than the monthly repayment amount due.  

Any life insurance benefits paid will be reduced by any amounts owed to us, including any part of the total repayment amount due but not paid.  Any part of the total repayment amount due but not paid cannot be accessed through the policy’s cash surrender value or by a policy loan.  If your policy lapses according to its terms and you elect to reinstate your policy, you will be required to pay all amounts due according to the terms of your policy, including any part of total repayment amount that was due but not paid.  

If you do not pay the repayment amount due
If you have a term policy and do not pay the scheduled premium or the monthly repayment amount due, your policy will lapse in accordance with its terms.  

If you have a whole life policy and do not pay the scheduled premiums or the monthly repayment amount due, you may elect to pay the monthly repayment amount from the policy’s cash surrender value or by taking a loan from your policy.  If you have elected to have premiums automatically paid from your policy’s cash surrender value and there is sufficient cash surrender value in your policy, the monthly repayment amount due will be deducted from your policy’s cash surrender value.  If you have elected to have premiums automatically paid by policy loan and there is sufficient loan value, a policy loan will automatically be taken from your policy to pay the monthly repayment amount due.  If you have not previously elected to have premiums paid from the policy’s cash surrender value or by taking an automatic policy loan, your agreement to these terms and conditions allows us to automatically pay the monthly repayment amount due by policy loan.  Any loan against your policy used to pay premiums or the monthly repayment amount will accrue interest in accordance with the terms of your policy.  Any loan interest that you do not pay when due will be added to the policy’s outstanding principal and will also accrue interest. Policy loan interest is due on the dates specified in your policy. The interest rate will never be more than the maximum loan interest rate stated in your policy. The total outstanding loan balance, which includes accrued loan interest, reduces your policy’s available cash surrender value and any life insurance benefits paid. You can repay all or a part of your total outstanding loan balance at any time while your policy is in effect.  If you do not pay the scheduled premium or monthly repayment amount due and there is insufficient cash surrender value in your policy to pay the amount owed or take a policy loan, your policy will lapse in accordance with its terms.

For universal life policies, if you do not pay the monthly repayment amount due and if the cash surrender value is sufficient to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, the monthly repayment amount due will be taken as a Monthly Deduction Charge.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For variable universal life policies, the total repayment amount will be credited to the Fixed Account and any unpaid portion of the total repayment amount cannot be removed from the Fixed Account.  If you do not pay the monthly repayment amount due and if the cash surrender value (or net cash value, if applicable) is greater than the Monthly Deduction Charges plus the monthly repayment amount that will be charged for the following month, then the monthly repayment amount due will be taken as a Monthly Deduction Charge from the available Fixed Account balance first, and if that is insufficient to pay the amount due, from the Separate Account balance.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value (or net cash value, if applicable) to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value (or net cash value, is applicable) is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For policies with more than one owner, any owner(s) that did not provide their approval at the time of election have the right to rescind enrollment.

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Policies issued in NY and NJ that are Paid to Date through June 23rd, 2020 and either miss a premium payment (Whole Life and Term) or enter the grace period (Universal Life and Variable Universal Life) between June 24th, 2020 and August 31st, 2020:

FINANCIAL HARDSHIP PROGRAM TERMS AND CONDITIONS – NON DNL POPULATION NY/NJ

During this time of uncertainty with the outbreak of coronavirus (COVID-19), you have opted into a Financial Hardship program offered by New York Life that will prevent your policy from lapsing if you are not able to pay your premium or monthly deduction charges due on your policy for a period of ninety (90) days. During this period, your policy will not lapse for any reason.

Enrolling in the program
Once we have processed your enrollment, your policy will not lapse for a period of 90 days.  After this period, you will be automatically enrolled in a program that allows you to re-pay the amount that would have been due to keep your policy active (the total repayment amount).  You can repay this amount interest free, over a 12- or 24-month period. We will determine the length of your repayment period and the monthly repayment amount.  During this 12- or 24-month period, your policy will remain active, provided you pay your scheduled premiums (For Term and Whole Life policies), your Cash Surrender Value (or Net Cash Value, if applicable) is greater than your Monthly Deduction Charges (for Universal Life and Variable Universal Life policies), and you continue to pay your monthly repayment amount as described in the Repayment Plan Terms and Conditions.  Before your first monthly payment is due, we will send you the total repayment amount, your repayment period (12 or 24 months), and the monthly repayment amount.

REPAYMENT PLAN TERMS AND CONDITIONS

As part of the Financial Hardship program, you will automatically be enrolled in an interest free repayment plan. This repayment plan gives you the ability to pay the scheduled premiums, or the Monthly Deduction Charges that were due but not paid during the temporary pause on policy cancellations that prevented your policy from lapsing for 90 days plus an amount to keep your coverage in force for an additional two months (total repayment amount).  The repayment plan does not include any payments into the Option to Purchase Paid-up Additions (OPP) rider that were not paid.  In order to maintain your life insurance coverage, you will need to begin repaying the total repayment amount and resume your regularly scheduled payments after your 90 day temporary pause period ends.  

How the repayment plan will work
In addition to any future premiums or Monthly Deduction Charges that are due on your policy, each month you will be billed an amount that is equal to one twelfth (or one twenty-fourth) of the total repayment amount due (monthly repayment amount).  If this monthly repayment amount is not paid on or before the due date indicated on the notice we send to you or you do not have sufficient Cash Surrender Value (or Net Cash Value, if applicable) to pay your Monthly Deduction Charges and any portion of the monthly repayment amount, your policy will lapse in accordance with its terms (please see below for additional details). You can elect to pay more than the monthly repayment amount due at any time, but you can never pay less than the monthly repayment amount due.  

Any life insurance benefits paid will be reduced by any amounts owed to us, including any part of the total repayment amount due but not paid.  Any part of the total repayment amount due but not paid cannot be accessed through the policy’s cash surrender value or by a policy loan.  If your policy lapses according to its terms and you elect to reinstate your policy, you will be required to pay all amounts due according to the terms of your policy, including any part of total repayment amount that was due but not paid.  

If you do not pay the repayment amount due
If you have a term policy and do not pay the scheduled premium or the monthly repayment amount due, your policy will lapse in accordance with its terms.  

If you have a whole life policy and do not pay the scheduled premiums or the monthly repayment amount due, you may elect to pay the monthly repayment amount from the policy’s cash surrender value or by taking a loan from your policy.  If you have elected to have premiums automatically paid from your policy’s cash surrender value and there is sufficient cash surrender value in your policy, the monthly repayment amount due will be deducted from your policy’s cash surrender value.  If you have elected to have premiums automatically paid by policy loan and there is sufficient loan value, a policy loan will automatically be taken from your policy to pay the monthly repayment amount due.  If you have not previously elected to have premiums paid from the policy’s cash surrender value or by taking an automatic policy loan, your agreement to these terms and conditions allows us to automatically pay the monthly repayment amount due by policy loan.  Any loan against your policy used to pay premiums or the monthly repayment amount will accrue interest in accordance with the terms of your policy.  Any loan interest that you do not pay when due will be added to the policy’s outstanding principal and will also accrue interest. Policy loan interest is due on the dates specified in your policy. The interest rate will never be more than the maximum loan interest rate stated in your policy. The total outstanding loan balance, which includes accrued loan interest, reduces your policy’s available cash surrender value and any life insurance benefits paid. You can repay all or a part of your total outstanding loan balance at any time while your policy is in effect.  If you do not pay the scheduled premium or monthly repayment amount due and there is insufficient cash surrender value in your policy to pay the amount owed or take a policy loan, your policy will lapse in accordance with its terms.

For universal life policies, if you do not pay the monthly repayment amount due and if the cash surrender value is sufficient to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, the monthly repayment amount due will be taken as a Monthly Deduction Charge.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For variable universal life policies, the total repayment amount will be credited to the Fixed Account and any unpaid portion of the total repayment amount cannot be removed from the Fixed Account.  If you do not pay the monthly repayment amount due and if the cash surrender value (or net cash value, if applicable) is greater than the Monthly Deduction Charges plus the monthly repayment amount that will be charged for the following month, then the monthly repayment amount due will be taken as a Monthly Deduction Charge from the available Fixed Account balance first, and if that is insufficient to pay the amount due, from the Separate Account balance.  Your policy will enter the late period and lapse in accordance with its terms if: 

  • You do not pay the monthly repayment amount due and if your policy does not have sufficient cash surrender value (or net cash value, if applicable) to cover the Monthly Deduction Charges that will be charged for the following month plus the monthly repayment amount, or
  • You pay the monthly repayment amount due but the cash surrender value (or net cash value, is applicable) is not sufficient to cover the Monthly Deduction Charges that will be charged for the following month.

For policies with more than one owner, any owner(s) that did not provide their approval at the time of election have the right to rescind enrollment.

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