Back dating

While that can theoretically save you money, you need to realize that you’ll have to pay the premiums for the months covered by the backdate.You’ll have to do the math to see if the overall savings realized for backdating your age are greater than the cost of the additional monthly premiums.Sometimes contracts will be signed on different dates and an "as of" formula that's described in the paper may be used.Sometimes it's possible to describe a situation in the contract's body without needing to backdate it, which is preferred.

Nothing is unethical or illegal about backdating contracts, but the specific situation can be illegal and unethical in itself.Of course, any attempt to purchase a backdated life insurance policy on your Aunt Minnie who has alreay passed on is out and out fraud. Free Life Insurance Quotes Online In regards to health insurance, backdating the effective date of a policy can be used to make your age at issue qualify for a lower premium. State laws differ in their policies about backdating health insurance policies, so you’ll have to check with your state insurance commissioner.Some states will the amount of backdate to six months.Many jurisdictions allow an earlier contract effective date than the one that's signed, but it's not always advisable.There can be adverse consequences that the parties will want to be aware of.

Leave a Reply