Lapse pending: what it means and what to do first

When a draft fails, most carriers move the policy into a grace period, often about 30 days, before it lapses. The exact length and the notices sent depend on the carrier, the product and the state, so check the carrier's terms for each policy.

Illustrative example: a client changes banks and the old account closes. The draft on the 3rd returns. The carrier marks the policy lapse pending and mails a notice the client may not open. A phone call that week to update the bank account keeps the policy, and on an advanced policy it keeps the commission too.

Book Health reads policy status from the carrier portals on a schedule and puts lapse-pending, missed-payment and grace-period policies at the top of the at-risk list, ranked by premium at risk, for every agent you oversee.

• The Monday report lists them for the week ahead.
• Conservation SI drafts the follow-up to the client; a person approves it before it sends, and each contact is logged on the policy.
• Status checks run on a schedule, not in real time.

• Call, do not just email. Ask what changed: the bank account, the draft date or the budget.
• Offer to move the draft date to the day the client is paid.
• Confirm the payment posted before you mark the save done.

See what your own book would show before you pay anything: the free at-risk scan reads one carrier export in your browser, and nothing is uploaded. Pricing, the back office and how we measure every number are linked below.