Recent Updates to New Business & Underwriting
Form 345 - Third Party, Corporation and Politically Exposed Person Form
Equitable Life Form 345 – Third Party, Corporation and Politically Exposed Person Form has been in use since February 2010 to comply with Anti Money Laundering Legislation. This form has three uses and may be required on the applications that you are submitting.
Uses:
- If a third party is involved on an application.
- A third party to an application is anyone other than the owner or insured.
- For a 3rd Party Individual – complete Section 1 and the Applicants/Owners Signature
- For a 3rd Party Company – complete Section 1 (only the check box and Advisors Signature), Section 3 entirely and Applicants/Owners Signature
- If the applicants/owners or their relatives are politically exposed.
- Complete Section 2 entirely
- If a company is owning a policy.
- Section 3 should be completed entirely
- The current Equitable Life Application - form 350 version (2010/08/18) - does not collect this information so this supplementary form is required.
Frequently Asked Questions
If an Insured's company is paying for the policy, why is this required?
If a client is paying their premium with a company cheque then this form is required. Even if it is the insured's company, we will require all details so we are able to determine which parties are involved and who can sign on the companies behalf. All of these measures are in place to protect the client and comply with industry standard regulations.
Why is the advisor required to sign and check the appropriate box?
This area is important because in most cases section 3 of the application has been answered ‘no' to third party involvement. Since this should now be a ‘yes', we require this area of form 345 to change the answer that was given on the application.
What if the company does not have a registration number?
If the company is a corporation, they will have a federal or provincial corporation number. If it is not a corporation, please provide a local or provincial business registration number.
Why is this requested on the cover memo of a COD policy?
Even if we have a void cheque on file, we are unaware if the payor will change when the policy is delivered or if the initial premium cheque will be from a company. We indicate form 345 on cover memos to alleviate the advisor needing to go back to the client after the premium is received.
