Dec 01, 2023
Under the Entire Agreement and Modification provision of your Unum Broker Contract ("Broker Contract"), Unum reserves the right to amend or replace the Broker Contract, in whole or in part, upon written notice to you. Unum will be sending a letter and amended Base and Supplemental Commissions Schedules which constitute an amendment to your Broker Contract ("The Amendment").
Please note, this letter also includes other miscellaneous notifications related to required anti-money laundering training and changes to the assignment of compensation process.
The Amendment to the Broker Contract
These amended Base and Supplemental Commissions Schedules will become part of your contract and will completely replace the previously issued Base and Supplemental Commissions Schedules effective 1/1/2024. There is no other action required on your part.
The following material amendments have been made to the Commissions Schedules:
- Group Whole Life has been added as an eligible product.
- Explicit verbiage for statutory disability and paid leave plans has been added.
- Specific state commission rate updates for Critical Illness - Employee Paid with Issue Age Rates and Critical Illness (AACI) - Employee Paid with Attained Age Rates.
- Rate change for Dental in Massachusetts.
- Others miscellaneous changes intended to clarify the qualification time period for supplemental commissions.
All other provisions of your Unum Broker Contract will remain in full force and effect, except as specifically noted in the Amendment and any prior, applicable amendments.
Required training for individual life insurance sales: Unum has updated its Anti-Money Laundering training. By continuing to operate under your existing broker contract you attest to having completed required Anti-Money Laundering training.
Assignment of Compensation: Unum has adjusted its assignment of compensation process to align with applicable tax rules and regulations associated with such payments. 1099 forms will be issued to the party earning and assigning the income (the assignor) unless your compensation assignment qualifies for an exception.
Exceptions to this general rule may include, but are not limited to:
- Assignor has sold his/her business to assignee; or
- Assignor has fully relinquished his/her business to assignee; or
- Assignor is a W2 employee of the assignee, etc.
Unum's obligations regarding tax reporting are subject to federal and state laws and regulations and they retain full discretion in determining the appropriate avenue for the reporting of state and federal income taxes.
