Deferred Comp - SERP Submission Guidelines

Take advantage of complimentary, administrative services from Principal^® by making sure your business is submitted to our Business Market Administration (BMA) department.

Note:  In addition to administering the life insurance policies, our BMA department will provide Deferred Comp - SERP administrative tracking and reporting services for both the employer and participants, provided the documents identified in items 3 and 4 below are received in good order. Financial professionals are encouraged to work with our National Sales Desk and/or Business and Advanced Solutions department (800-654-4278, option 2) to receive pre-sale support regarding plan design, and to obtain a formal Proposal containing the documents identified in items 3 and 4 below. 

Guidelines

1. Complete life insurance applications and accompanying Consent to be Insured forms (one per proposed insured), along with life insurance illustrations or corresponding Disclosures, per NAIC regulations.
   • The Employer (or a trust on behalf of Employer) should be the policy owner.
     • If employer-owned (corporate-owned), have authorized officer other than client sign as policy owner*. (For variable life insurance, submit documents identified in required Customer Identity Verification Form (MM2580).)
     • If trust-owned, submit Trust Certification and Indemnification form RF 971.
   • Sex-distinct rates should apply.
   • If endorsement split dollar will apply in pre-retirement years:
     • In beneficiary section of each application, write “Refer to Endorsement Split Dollar Benefit Instructions.”
     • With each application, complete an Endorsement Split Dollar Benefit Instructions Form (DD914E).
   • Obtain the life insurance applications by using the Create Application Packet utility; or Principal Advisor Network offices may use Life E-App (for Term and Universal Life products only).

2. Have employer (and participants, where applicable) complete the following documents:

• Sample Resolution (BB12165)
• Deferred Comp - SERP Adoption Agreement (BB11130)
• Deferred Comp - SERP Plan Document (BB11131)
• Deferred Comp - SERP Enrollment Packet (BB11129) - (one per participant)
• Deferred Comp - SERP Roles and Responsibilities (BB11141)
• Sample Endorsement Split Dollar Agreement (BB10998) – (one per participant, if applicable)

2. Complete Deferred Comp - SERP Submission Checklist (DD849S).

4. For Simplified Issue Underwriting, include a copy of the Principal home office correspondence (email or letter) which granted approval for using this underwriting program.
    
5. Include a cover letter/memo describing any special instructions or requests (if applicable).
    
6. Submit above items via fax or mail using the information in the Contact Us section below.

* If client is the only one authorized to sign as policy owner, include either a copy of Articles of Incorporation or explanatory letter on company letterhead.

Important Information