Principal: Temporary New Business Submission Adjustments


Principal greatly values your business, and they strive to always provide you with timely, consistent new business and underwriting service. But much higher than normal application activity over recent months has strained their ability to meet their high service standards. So, in addition to the many operational process changes Principal has implemented, they are making the following temporary business submission adjustments, which will allow them to focus their resources where they can make the greatest impact.

  • Drop ticket is required for certain term business. All Principal Term applications with face amounts of $500,000 and less must be submitted via drop ticket, except for cases where the insured is a resident of New York. 
    • Principal's term product is available through BUA's Vive portal! 
    • Additionally, Principal has created another destination to drop the ticket, which does not require an agent login. This electronic fillable short form allows you to quickly provide basic client information. And once you drop a ticket, your client receives an email link so they can complete the rest of the application online. This seamless process helps expedite policy-issue by ensuring more complete and accurate application information, usually resulting in fewer underwriting follow ups.
      • This new requirement is effective immediately. But to allow you time to transition for cases you’re currently working on, Principal will accept any paper application or E-App received in the home office by Sept. 1, 2020.
      • This overview provides more details on how the drop ticket process works.
      • To submit a drop ticket, you can access the Principal Life Drop Ticket system at any time with no login required, Vive, or iPipeline.
  • Informal application guidelines are adjusted. Effective immediately, the required minimum face amount for an application increases from $1 million to $3 million. Additionally, the maximum insured age for Principal Survivorship Universal Life Protector III applications is now 75.
    • These changes apply to both new informal applications and those Principal previously received but haven’t yet completed.
    • The new face amount minimum applies to all products and application states. For cases below the minimum, Quick Quote is available. This option provides a tentative risk assessment based on a brief summary of pertinent medical information you provide via an email request

Please give us a call at 1-800-792-6795 should you have any questions, or if you need assistance with submitting a term application through Vive!