Need Some help with Royal Neighbors

[randallcunn12]

Here is my question I recently wrote a case with Royal Neighbors that was approved and the first premium was rejected for a frozen bank account. Royal Neighbors then made the insured provide proof that the bank was unfrozen. The insured then faxed me over a bank statement showing that the account had activity and it was open. Royal Neighbors accepted that and tried to draft again and the account came back closed. I called the client and then said the had no idea what is going on with their bank and then said their daughter will allow her to use her bank account. We did the voice auth with daughter on the line and I thought all was good to go. Then I get a call this morning and a rep from Royal Neighbors told me that they are going to cancel the certificate since the first 2 were returned and I had to do a new phone interview with her and the daughter on the line. Me and the rep kind went at it (in a professional way) and we decided best to probably move somewhere else with the daughter as the payor. So after all this I try an login to me agent portal with Royal Neighbors and it went right to my commission statement. I knew something was up I called Royal contracting and they told me that my contract was pending for legal review . My upline called in as well and he could not get anymore info from them. Do you guys think that they are just confirming that the person I was writing insurance on knew that they were getting a policy and they there was no funny stuff. All of this was done over the phone so I am guessing that I was talking to the insured , they gave me know reason to assume that I was not and everything seemed legit. Also do you think worst case scenario is they just cancel my Royal contract (which is fine cause their rates are on the higher end and don't write them as much as I used to) or to I need to hire an attorney in case they try to fine me or put me in jail over something like this.......thx for ur help

 

[jdeasy]

Here is my question I recently wrote a case with Royal Neighbors that was approved and the first premium was rejected for a frozen bank account. Royal Neighbors then made the insured provide proof that the bank was unfrozen. The insured then faxed me over a bank statement showing that the account had activity and it was open. Royal Neighbors accepted that and tried to draft again and the account came back closed. I called the client and then said the had no idea what is going on with their bank and then said their daughter will allow her to use her bank account. We did the voice auth with daughter on the line and I thought all was good to go. Then I get a call this morning and a rep from Royal Neighbors told me that they are going to cancel the certificate since the first 2 were returned and I had to do a new phone interview with her and the daughter on the line. Me and the rep kind went at it (in a professional way) and we decided best to probably move somewhere else with the daughter as the payor. So after all this I try an login to me agent portal with Royal Neighbors and it went right to my commission statement. I knew something was up I called Royal contracting and they told me that my contract was pending for legal review . My upline called in as well and he could not get anymore info from them. Do you guys think that they are just confirming that the person I was writing insurance on knew that they were getting a policy and they there was no funny stuff. All of this was done over the phone so I am guessing that I was talking to the insured , they gave me know reason to assume that I was not and everything seemed legit. Also do you think worst case scenario is they just cancel my Royal contract (which is fine cause their rates are on the higher end and don't write them as much as I used to) or to I need to hire an attorney in case they try to fine me or put me in jail over something like this.......thx for ur help

Something is going on there. You or your upline or both need to be on the phone with them asap to find out what's going on.

The forum is not going to help with that. This is a private matter and you better get to the bottom of it.

 

[dabulls]

Here is my question I recently wrote a case with Royal Neighbors that was approved and the first premium was rejected for a frozen bank account. Royal Neighbors then made the insured provide proof that the bank was unfrozen. The insured then faxed me over a bank statement showing that the account had activity and it was open. Royal Neighbors accepted that and tried to draft again and the account came back closed. I called the client and then said the had no idea what is going on with their bank and then said their daughter will allow her to use her bank account. We did the voice auth with daughter on the line and I thought all was good to go. Then I get a call this morning and a rep from Royal Neighbors told me that they are going to cancel the certificate since the first 2 were returned and I had to do a new phone interview with her and the daughter on the line. Me and the rep kind went at it (in a professional way) and we decided best to probably move somewhere else with the daughter as the payor. So after all this I try an login to me agent portal with Royal Neighbors and it went right to my commission statement. I knew something was up I called Royal contracting and they told me that my contract was pending for legal review . My upline called in as well and he could not get anymore info from them. Do you guys think that they are just confirming that the person I was writing insurance on knew that they were getting a policy and they there was no funny stuff. All of this was done over the phone so I am guessing that I was talking to the insured , they gave me know reason to assume that I was not and everything seemed legit. Also do you think worst case scenario is they just cancel my Royal contract (which is fine cause their rates are on the higher end and don't write them as much as I used to) or to I need to hire an attorney in case they try to fine me or put me in jail over something like this.......thx for ur help

Why would you go to jail over this? Sounds like a technical error. Why are you so worried? Is there more to the story?

 

[randallcunn12]

I am pretty confident that everything is kosher. I just think the woman did not have money in their account and they froze it then closed it. I do believe it was her account as the bank statements seemed to confirm it. My question is assuming all lines up and the lady just had the mis- fortune of having low funds do you think Royal Neighbors is doing research to make sure that I am not making things up for the sake of earning a commission. Also once the see that I am not lying will they reactivate my agent code or will they just terminate and say have a nice day?

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I am a worry wort and when I was speaking with my up he freaked me out when he said he knew an agent to went to jail. Totally different scenario as he did paper apps and went around and replaced peoples polices without them knowing !!!!.......Not me as I have been in business since 2003 and never ever had an issues with clients, carriers, states etc..... clean sheet for me.

 

[springbokhouston]

You're not going to jail. Worst case they'll reject the policy.

 

[HoosierLife]

Don't listen to Peter, you're definitely going to jail!

Come on man, I've seen agents forge clients signatures, replace incontestable policies with 3 year graded policies and much much more. All reported to the carriers and DOI by the clients.

Nothing happened. You'll be fine.

 

[BibH]

Lol is this a joke? Outiside stealing money from a client nothing ever happens to an agent. At the worst they can your contract.

 

[randallcunn12]

Ha Ha, I know jail is prob the last thing that will happen. Here is another question say they decide to review my whole book of business they notice that there are a few replacements within the first 2 years. No keep in mind my Quality of business metrics with Royal is well above their guidelines. Now the replacements occurred when clients fell behind on their premiums and Royal was asking for 2-3 months payment at 1 time to keep the policy going or they were going to cancel it. So the clients asked me to move them to another carrier so they can start fresh. Also pretty much all of these polices were only 6-8 old so they were not complete with the 2 year contestablity period. The good news for me is all these policies are still on the book with the other carriers :-) . My persistency is pretty good overall , I would say out of every 50 polices placed about 44-45 polices stick past the 2 years. I do not have a debit balance with any carriers and never have. Also what would happen if an agent forgets to deem a policy a replacement ? I come from the traditional life space and it seems like there is a lot of shady stuff that goes on in the Final Expense world. I know that we deem polices replacements in the traditional life space but in FE you deal a lot with older people who may forget ti mention a policy that they have already or they think it lapsed when the old policy is still active etc....

 

[HoosierLife]

So what you're saying is that you replaced your own policies but didn't fill out a replacement form??

You're definitely going to jail now!!

 

[randallcunn12]

Ha Ha, no I do fill out the replacement forms on my polices as some are not lapsed yet but asking for 2-3 months premium to bring policy current. But by your tone I can see that a lot of agents replace their own FE polices and don't fill out replacement forms. I guess if a policy lapsed and the new carriers only ask if you have any existing life insurance in force you can honestly answer the question no. But in the FE world what can happen to an agent if they don't deem a policy a replacement ? Also keep in mind 99 percent of my business is voice apps so if there are mistakes and the clients answer the questions does that shift the blame to them as they are the ones answering the questions? This is why I may go back to focusing on traditional life with paper apps , e apps and medical exams. I know there are crooks their too but the carriers must deal with this a lot so I can understand why Royal is a little concerned since this bank account came back frozen then closed.