SmartPolicies - Benefits Content Link

• Overview
• Life Policy Fields and Options

• Disability Insurance Fields and Options
• Annuity Fields and Options

• Umbrella Policy Fields and Options
• Rider List Section

Overview

When viewing a policy, the user can access the Benefits content link to see policy payout and client deductible information for life, disability, critical illness, annuity, property casualty, umbrella and Other-type insurance policies. (For long term care, medical, homeowner and auto insurance types, this information is found on the Coverage content link.)

Life Policy Fields and Options

The field values on the Benefits content link of a life policy are affected by two settings on the associated product's Product Settings content link: -

Calculate Benefit: If this option is selected, SmartOffice automatically calculates the Net Death Benefit and Total Death Benefit fields for policies associated with the product.

• Calculate Cash: If this option is selected, SmartOffice automatically calculates the Gross Cash Value and Net Cash Surrender Value fields for policies associated with the product.

If these options are not selected, these calculations are not automated, and the user can enter information into the fields manually. Field/Option Description Applicable Life Plan Types Add'l Death Benefit This is an extra payment in addition to the basic face amount that is paid to the beneficiary if a specific

scenario occurs, e.g., the insured dies within a certain age range. Term, UL, VUL, IUL

AlphaNum1 This is a custom field that can be used to track any value containing letters, numerals or both. The field label and available options can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link. Term, WL, VWL, UL, VUL, IUL

Amount /Date Required This is the minimum premium amount that must be paid to prevent the full policy from lapsing. Payment must be received by the date indicated. Term, WL, VWL, UL, IUL, VUL

APL/Non Fort Prov This drop-down list specifies any automatic premium loan or nonforfeiture provision attached to the policy. WL, VWL

Basic Cash Value The portion of a whole life policy's cash value that builds up over time and is guaranteed not to decrease. WL, VWL

Basic Face Amount This is the amount that the policy pays to the beneficiary when the insured dies. Term, WL, VWL, UL, VUL, IUL

Convertible This option indicates whether the policy can be converted to a permanent policy at a later date. Term

Convertible Age This field specifies the age at which the policy can be converted. Term

Convertible Face Amount This is the face amount of the policy that can be converted to another policy. Term

Collaterally Assigned This option indicates whether the policy is assigned as collateral for a loan. Term, WL, VWL, UL, IUL, VUL

Current Interest Rate This is the current interest rate on the amount in the Loan Amount field. UL, VUL, IUL

DB Option/Death Benefit Option This field specifies how the death benefit is calculated. For example, if the death benefit option is set

to Decreasing, the basic death benefit decreases over time. Term, UL, VUL, IUL

Dividend Cash Value The portion of a whole life policy's cash value made up of dividends paid by the carrier. WL, VWL

Dividend Option This field specifies how dividends on the policy are paid, with options including cash, premium reduction and paid-up additions, among others. Term, WL, VWL

Final Expiration Date This is the final expiration or maturity date for the term policy, when no further premium can be paid to keep the policy inforce. Term

GdeSngle/MinGuarPrem This is the minimum premium that the policyholder pays to prevent a universal life policy from lapsing. UL, VUL, IUL

Gross Account Value If the product associated with the policy is configured to calculate benefits automatically, this field is calculated as follows:

Basic Cash Value + Dividend Cash Value WL, VWL

Gross Cash Value If the product associated with the policy is configured to calculate benefits automatically, this field is calculated as follows for universal life policies:

Net Cash Value + Loan Amount UL, IUL, VUL

Initial Period This is the number of years for which the policy premium remains unchanged after the policy is issued. Term

Last Dividend Paid This is the amount of the most recent dividend paid to the policyholder. Term, WL, VW

Last Prem Paid Amount/Date This is the amount of the last premium payment and the date on which it was applied. Term, WL, VWL, UL, IUL, VUL

Level Premium Expiration Date This is the expiration date for the initial level premium. It is not applicable for annual renewable term

policies. Term

Loan Amount This is the amount of any loan taken against the policy's cash value. WL, VWL, UL, VUL, IUL

Loan Int Rate/Amount This is the interest rate on any loan taken against the policy's cash value and the amount paid back on the loan. WL, VWL, UL, VUL, IUL

MEC This option indicates whether the policy is a modified endowment contract. WL, VWL ,UL, IUL, VUL

Net Cash Surrender Value If the product associated with the policy is configured to calculate benefits automatically, for whole life and variable whole life policies this value is calculated as: Gross Account Value –

Loan Amount For universal and variable universal life policies, the calculation is: Gross Cash Value – Loan Amount –

Surrender Charge. WL, VWL, UL, IUL, VUL

Net Cash Value This is the amount available in cash for loans and/or withdrawals. UL

Net Death Benefit If the product associated with the policy is configured to calculate benefits automatically, for whole life and variable whole life policies this field is: Basic Face Amount + Paid Up Additions + Other Dividend DB + Rider Death Benefit –

Loan Amount For universal life and variable universal life policies, the calculation depends on the option selected from the Death Benefit Option drop-down list: -

None

(blank): Basic Face Amount + Add'l Death Benefit + Rider Death Benefit – Loan Amount

• Increasing: Basic Face Amount + Add'l Death Benefit + Rider Death Benefit

+ Gross Cash Value – Loan Amount

• Level: Basic Face Amount + Add'l Death Benefit + Rider Death Benefit

– Loan Amount

• Decreasing: Basic Face Amount + Add'l Death Benefit + Rider Death Benefit

– Loan Amount WL, VWL, UL, IUL, VUL

Paid Up Additions This is an amount of policyholder dividend used to buy paid-up insurance coverage in addition to the basic face amount of the policy. WL, VWL

Participating This option indicates whether the policy as a whole participates in dividends, i.e., it pays a dividend to the policy owner. Term, WL, VWL

Rated This option indicates whether the contract (or any of its riders or benefits) is rated. Term, WL, VWL ,UL, IUL, VUL

Renewal This field specifies the renewal period as either Increasing or Level after the initial period. Term

Subaccount Value/Indexed Account Value This is the total value of all investments listed on the policy's Subaccounts content link (or the Indexed Account content link for indexed universal life policies). The user can select Menu > Validate Policy from that content link to calculate this value. All calculable fields are also recalculated. VUL, IUL

Surrender Charge This is the fee charged to the policy owner when the policy is surrendered for its cash value. VWL, UL, VUL, IUL

Target/MEC Premium This field can be used to track the premium amount that a universal life policyholder pays to keep the policy inforce for a certain number of years (typically, the lifetime of the policyholder).

The field can also be used to track the maximum premium that the policyholder can pay before the policy is considered a modified endowment contract (MEC) for tax purposes. UL, VUL, IUL

Total Death Benefit If the product associated with the policy is configured to calculate benefits automatically, this field is calculated as follows:

Basic Face Amount + Add'l Death Benefit + Rider Death Benefit. Term

User Defined This is a custom field that can be used to track any date. The field label can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link. Term, WL, VWL, UL, VUL, IUL

Years Guaranteed This is the number of years for which the premium on a term life policy is guaranteed to remain the same. Term

Disability Insurance Fields and Options

Field/Option Description AlphaNum1 This is a custom field that can be used to track any value containing letters, numerals or both. The field label and available options can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link.

Assigned Select this option if the benefits are assigned to someone else (e.g., the employer).

Benefit Amount This is the maximum amount that the client can receive per accident/illness.

Benefit Period This is the period of time that the benefit will pay out.

Elimination This is the number of days the client must be injured or ill before the benefit will begin paying out.

ER/EE Split The ER/EE Split fields are used when an employer and employee split the premium payment.

Flex Bill Select this option if the client wants to be billed a nonstandard number of months per year. For example, a teacher might want to be billed nine months out of the year rather than twelve because of his/her teaching schedule.

Policy Residual The policy residual is the manner in which extra money in the policy is paid.

Rating This field specifies an additional rating on a class.

Step Rated/Step Date Step Rated is a rating due to the client's occupation that can be removed later. The removal date is specified in the Step Date field.

User Defined This is a custom field that can be used to track any date. The field label can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link.

Waivers This field specifies any waivers on the policy.

Annuity Fields and Options

Field/Option Description

88 Def Value The premium the employee paid for the annuity

(1988 Defined Value based on tax changes in 1988). If the annuity was purchased before July 1, 1986, the defined benefit is calculated based on those tax changes.

86 Def Value The premium the employer paid for the annuity

(1986 Defined Value based on tax changes in 1986).

AlphaNum1 This is a custom field that can be used to track any value containing letters, numerals or both. The field label and available options can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link.

Annual Inc The periodic payment multiplied by the number of payments in a year.

Annuity Form The user can type any additional information about the annuity product in this field.

Cost The total benefit of the annuity.

Current Date The date the current rate was verified.

EE/ER Contribution The employee (EE) and employer (ER) contributions to the annuity.

EE/ER Value EE Value is the employee value, while ER Value is the employer value.

Loan Amount/Rate The amount taken out against the annuity for a loan, along with the rate on the loan.

Maturity Date The date on which the annuity becomes mature.

Maturity Value The value when the annuity becomes mature.

Net Surrender Value The current amount paid out to the annuitant if the policy is closed.

Payments/Year The number of payments made in a year.

Pen Phase End The date on which the annuitant will stop receiving benefit payments.

Periodic Amt The additional periodic amount paid to the annuity.

Subaccount Value When the user selects Menu > Validate Policy from the Subaccounts content link of a variable annuity, SmartOffice totals the subaccount value and enters that amount in this field.

Tax Type Select Qualified from this drop-down list if the money used for the annuity has not been taxed. Otherwise, select Non-Qualified.

Withdrawals The amount of the last withdrawal.

Withdrawals/Yr The total withdrawals for the current year.

User Defined This is a custom field that can be used to track any date. The field label can be customized by users who have the appropriate user rights. For more information about custom fields, see Contacts and Businesses - Custom Content Link.

Umbrella Policy Fields and Options

Field/Option Description Credits Applied Auto/Home The Credits Applied fields track discount credits based on multiple policies.

Ratable Autos/Homes/Boats These fields track additional ratings for autos, homes, boats, etc.

Rider List Section

See Coverage Content Link.