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Important Announcement from Prudential Regarding Group Insurance for Customers with Less Than 100 Enrolled Employees or Members

At Prudential Group Insurance (Prudential), we are constantly looking to improve our business to enhance the support we provide to you and your customers.


We recently completed an extensive review of our go-to-market approach, during which many of you also gave us your feedback. In an effort to better align our efforts to your needs, we have made the strategic decision to exit the less than 100 lives segment and to discontinue new sales of life and disability insurance products to customers with less than 100 enrolled employees or members, effective immediately.

Impact to New Sales and Enrollments

As a result of this decision, we will stop issuing new quotes to customers with less than 100 enrolled employees or members. We also will withdraw all pending and unexpired quotes from customers with under 100 enrolled employees or members, effective October 31, 2014.

Impact to Existing Policyholders

Following today’s announcement, we will immediately begin the process of notifying existing customers with under 100 enrolled employees or members of our decision. A copy of this letter is attached for your reference.

Please know that we are committed to ensuring that your customers continue to receive quality service through the existing rate guarantee period, as long as the terms and conditions of the group policy are met.

To make this transition easy for our existing policyholders, Prudential will honor the following:

  • If a policyholder’s existing rate guarantee period expires on a date following this announcement, and on or before January 31, 2015, Prudential Group Insurance will offer to renew the policy with a two-year rate guarantee for all life insurance products and a one-year rate guarantee for all disability insurance products.
  • If a policyholder’s existing rate guarantee period expires on February 1, 2015, and on or before December 31, 2015, Prudential Group Insurance will offer to renew the policy with a one-year rate guarantee for all products.

Beginning with January 1, 2016 renewal dates, Prudential Group Insurance will not renew policies with expiring rate guarantees for policyholders with less than 100 enrolled employees or members.

Questions
We anticipate you will be receiving calls from your customers and have developed frequently asked questions (FAQs), which you will find along with this letter. For additional questions, please contact Prudential at 1-844-301-4778 (1-844-301-4PRU).

We sincerely appreciate your business and we thank you for your partnership.

Sincerely,

John DeLorenzo

John DeLorenzo 
Senior Vice President, Distribution
Prudential Group Insurance

Attachments:
Frequently Asked Questions (FAQs) 
Customer Letter

Group Insurance coverages are issued by The Prudential Insurance Company of America, 751 Broad Street, Newark, NJ 07102. Contract Series: 83500.

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