GENERAL CONDITIONS AND TERMS OF GLOBAL M FINANCE PLANS / CONTRACTS

Valid from October.17.2022

 

Family Farewell Plans

With a Global M Finance Family Farewell Plan, you and/or your family are covered for a fixed amount at a fixed premium until either you or a listed family member passes away. That means it makes no difference whether you or a family member listed die early on. The amount that surviving dependents will receive will always remain the same.

Duration of Family Farewell Plans

You can choose between a temporary or Individual Plan for up to 14 years or a lifelong Family Plan that covers your household. This plan carries a continuous premium fee from the day it commences until all listed members have passed away.

Cost of Family Farewell Plans

An Individual Plan is 31.00 USD per month for one (1) single person tax inclusive.

A Full Family Plan is 55.00 USD per month for five (5) family members tax inclusive,

Total Plan Payout Allotment(s)

Each plan carries a payout of USD 5,000.00 to cover the cost of burial and peace of mind toward families. In the event of multiple members listed in a plan die as a result of a single accident – Global M will match the payout with a 50% increase totaling USD 7,500.00

1. Introduction

1.1. Global M Finance LLC provides various plans and financial solutions with different content and cover, therefore it is necessary to regulate the relations between Global M Finance and the client/member/policyholder on the basis of the general rules.

1.2. The general conditions of financial plan(s) conditions set out the definitions used in any plan(s) or contracts, also the rights and obligations of Global M Finance LLC and the client upon conclusion and performance of the contract.

1.3. The general conditions of plans/contracts shall constitute an integral part of the plan/contract to be concluded between Global M Finance and the policyholder/client/member.

2. Definitions

• Insurer/Company Global M Finance LLC.
• A policyholder/Client/Member is a person who has an insurable interest and has entered an insurance contract or financial plan with the insurer/company.
• Insurable interest means the interest of the policyholder/client/member to insure the life and/or health of himself (herself) or the insured person against a certain insurance risk.
• Insurance/Company quotation is the insurer’s proposal to enter an insurance or financial plan contract.
• An insurance/Financial Plan contract means an agreement concluded between the policyholder/client/member and insurer/company under which the insurer/company shall pay an agreed amount of money or perform the obligations specified in the contract in another agreed manner upon an insured/full term event. The policyholder/client/member undertakes to pay the contract/plan premiums.
• A fixed-term insurance/financial plan contract is a contract that expires upon the expiry of the insurance/financial plan period.
• The insurance/financial plan contract for an unspecified term shall remain valid until the cancellation of the insurance/financial plan contract.
• Terms and conditions of insurance/financial plan are the terms and conditions applied by the insurer/company-specific insurance/term relationship. Terms and conditions of insurance/financial plan(s) shall be considered to be these general terms and conditions, the terms and conditions of each insurance/ financial product, and risk and special conditions.
• Policy (or insurance/financial plan/policy) is a document issued by the insurer/company proving entry into the insurance/financial plan contract.
• Payment notice is the notice sent by the insurer/company, notifying the policyholder of the upcoming payment due date.
• Insured/covered person or the insured means a person the insurance risk related to whom is insured/covered.
• Beneficiary means a person specified in an insurance/financial plan contract that is entitled to the performance of the insurer’s/company’s obligations upon an insured/covered event in accordance with the insurance/financial plan contract.
• Insured/plan risk is the risk against which insurance/plan is taken out.
• The insurance/plan period is a period of time according to which the insurance premiums shall be calculated.
• Insurance cover means the obligation of the insurer to pay the sum insured or insurance indemnity or perform the contract in another agreed manner to the extent, on the conditions and pursuant to the procedure provided in the contract, upon the occurrence of an insured event.
• An insured/financial plan event is the agreed-upon event in the case of which the insurer/company shall perform its contractual obligation.
• Amount insured means the maximum amount to be paid out in accordance with the conditions agreed in the insurance/financial plan contract.
• Written notification is the transmission of a notice, application, or other information to the insurer, company, policyholder, or other agreed person in a manner permitting the communicated information to be reproduced later in writing.
• Notification procedure. A notice, application, or other information shall be transmitted to the insurer, company, policyholder, or other agreed person at the postal address, e-mail address, or fax number indicated on the policy, other insurance, or financial plan contract documents. With the transmission of a notice, application, or other information in the said manner, the respective information shall be deemed to have been delivered.

3. Entry into an insurance/financial plan contract

3.1. An insurance/financial plan contract shall be deemed to have been entered into once the policyholder/client/member has met one of the following conditions:

3.1.1. Certified the entry into the insurance/financial plan/contract with his/her signature or electronic signature on the insurance/financial plan quotation or policy;

3.1.2. Paid the insurer/company the first premium/installment;

3.1.3. Performed some other act agreed upon in the insurance/financial plan/contract.

3.2. As proof of entry into the insurance/financial plan/ contract, the insurer/company shall issue an insurance policy or financial plan. The company’s or insurer’s certification on the financial plan or insurance policy may be original, digital, or mechanically reproduced.

3.3. In accordance with the principle of the freedom of contract, in the case of voluntary insurance the insurer/company shall be entitled to decide with whom and on what terms it enters or refrains from entering a contract.

4. Contract documents

Financial Plan contract documents and/or Insurance contract documents shall include the financial plan/insurance policy, the terms, and conditions of such contracts, the conditions of the type of insurance or terms selected, the application to enter an insurance or finance contract, and any other documents referred to in the financial plan – insurance policy and/or insurance quotation.

5. Entry into force, term, and amendment of the insurance contract

5.1. A contract shall enter into force upon entry unless another term or condition for entry into force has been agreed upon.

5.2. Coverage shall apply during the period indicated on the financial plan/insurance policy.

5.3. A contract may be for a specified or unspecified term.

5.4. If the insured/covered person is not a policyholder, the insurance contract can be concluded only upon the consent of the insured/covered person.

5.5. The policyholder/client/member may withdraw from the contract within 14 days of the conclusion of the contract. For this, the policyholder/client/member shall submit to the insurer/company a written withdrawal application. Upon withdrawal of the policyholder/client/member from the contract, the insurer/company shall return to the policyholder/client/member the premium paid by the latter, less the administrative expenses according to the applicable price list.

5.6. In order to amend the insurance/financial contract, the policyholder/client/member shall submit an application to the insurer/company. The financial/insurance contract shall be deemed to be amended if the parties have reached a corresponding agreement and the policyholder/client/member has fulfilled the condition(s) specified in such agreement.

6. Premium and its payment

6.1. The financial plan or insurance premium is the amount of money that the policyholder/client/member shall pay the insurer/company for the coverage. The premium shall be paid by the due date specified in the financial plan or insurance contract.

6.2. The premium is deemed to be paid at the time when the corresponding amount is credited to the bank account of the insurer/company or is paid to the representative of the insurer/company in cash or by payment card.

6.3. Delay or failure to pay the first premium:

6.3.1. If the policyholder/client/member has not paid a premium or the first premium within 14 days of the conclusion of the contract, the insurer/company may withdraw from the contract until the payment is made.

6.3.2. It shall be presumed that the insurer/company has withdrawn from the contract if it does not file an action to collect the premium within three months of the payment becoming collectible.

6.3.3. If the first premium has not been paid by the time an insurance/cover event occurs, the insurer/company shall be released from its obligation to perform the contract.

6.4. If the policyholder/client/member has failed to pay the second or subsequent premium in a timely manner, the insurer/company shall send the policyholder a corresponding notice, giving the policyholder/client/member a term of at least two weeks for making the payment and shall also inform about the legal consequences accompanying the expiry of the term. If the policyholder/client/member has failed to pay the insurance/coverage premium within the specified term after the receipt of the notice, the financial plan/insurance contract shall be deemed to be canceled by the insurer/company and if the surrender value of the financial plan/insurance contract has been created, the plan/insurance shall become premium-exempted. If the policyholder pays the premium within one month as of the cancellation of the contract or after the expiry of the due date set for the payment and no insurance event has occurred before the payment, the contract shall not be deemed to be canceled.

7. Settlements

7.1. The insurer/company shall present a payment notice to notify the policyholder/client/member of the upcoming payment due date and the bank account and reference numbers of the insurer/company. A payment notice may be transmitted in hard copy or electronically.

7.2. If the payment notice is not sent or received, this shall not release the policyholder/client/member from the obligation to pay a premium.

7.3. If a premium is paid incorrectly, and the insurer/company is unable to decide, based on the information available, for which financial plan/insurance contract the payment has been received, the premium shall be deemed to have left unpaid until it has been established for which financial plan or insurance contract the payment is.

7.4. If the policyholder pays an amount less than stipulated, the insurer/company shall contact the policyholder/client/member. The premium shall be deemed to have been received only once the entire amount stipulated has been received.

7.5. If the policyholder pays an amount that is greater than prescribed, it shall be repaid on the basis of an application of the client.

8. Notification obligation of the policyholder/client/member and consequences of violation

8.1. Upon conclusion of the financial plan/insurance contract, the policyholder/client/member and insured person are required to veritably and fully reply to all questions of the insurer/company concerning the circumstances that influence the decision of the insurer/company as to whether to conclude a contract or do so under additional agreed upon conditions. In particular, this concerns those issues that are related to diseases from which the insured person has suffered or currently suffers, his or her health disorders and complaints, as well as the dangerous hobbies and activities that the insured/covered person pursues.

8.2. If upon conclusion of the financial plan/insurance contract, the policyholder/client/member or insured person has not notified the insurer/company of all significant circumstances that they are aware of, also if they have intentionally avoided becoming aware of any significant circumstances or have supplied incorrect information with regard thereof, the insurer may withdraw from the contract or charge the policyholder a higher premium.

8.3. The insurer/company may withdraw from the contract within one month of the date when the insurer/company became aware or should have become aware of the violation of the notification obligation. Withdrawal from the contract is not allowed if three years have passed from the conclusion of the contract. Upon withdrawal from the contract, the insurer/company shall pay the policyholder/client/member the surrender value less overdue premiums and other possible payables according to the price list agreed upon.

8.4. The principles specified in clauses 8.1. and 8.2. shall also apply upon amendment of the insurance contract.

8.5. If the insurer/company became aware of the violation of the pre-contract notification obligation after the occurrence of the insured/covered event, then upon calculating the amount to be paid the insurer/company shall take into account the ratio between the paid insurance premiums and the premiums that should have been made if the circumstances were known.

8.6. If upon conclusion of the insurance contract, the age of the insured/covered person was wrongly declared, as a result of which the premium was determined in an excessively small amount, the liability of the insurer/company shall be reduced proportionally to the ratio between the insurance premium appropriate to the actual age and the insurance premium agreed upon. If the insurer/company would not have offered the insurance cover based on the actual age of the insured, then the insurer/company shall pay the surrender value of the plan/insurance.

9. Financial Plan/Insurance cover and circumstances excluding cover

9.1. The insurance cover or term shall begin with the payment of a one-off premium or the first premium, but not before the beginning of the insurance period specified in the insurance policy.

9.2. The insurance cover or term shall apply anywhere in the world and at any time unless otherwise agreed.

9.3. The insurance cover or term shall not apply and the insurer/company shall not pay the sum insured if:

9.3.1. the insured committed suicide before the expiry of two years from the commencement of the insurance cover or the increase of the sum insured. Upon increasing the sum insured, the aforementioned condition shall apply to the increased sum insured. In such case, the insurer/company shall pay the policyholder/client/member the surrender value of the contract. If suicide was committed in a state of mental illness excluding free will, the insurer/company has the obligation to perform the contract;

9.3.2. the death of the insured was caused by an intentional unlawful act of the policyholder/client/member or the beneficiary. In such case, the insurer/company shall not have any obligation to pay the surrender value of the contract;

9.3.3. the death of the insured was caused by an unlawful act of the insured;

9.3.4. the insurance event was caused by any military act, the harmful effect of radioactive radiation or internal disorder, or if the policyholder/client/member, insured person, or beneficiary has intentionally caused the insurance event.

10. 10. Expiry and cancellation of the insurance contract

10.1. The insurance contract shall expire:

10.1.1. upon expiry of the insurance period;

10.1.2. upon cancellation of the insurance contract;

10.1.3. upon withdrawal from the insurance contract;

10.1.4. upon full performance of the insurer’s obligation after the insurance/term event;

10.1.5. on any other bases provided by law.

10.2. The policyholder/client/member has the right to cancel the insurance/term contract during the period. To cancel the contract, the policyholder/client/member shall give the insurer/company one month’s notice.

10.3. The insurer/company has the right to cancel the contract or withdraw from the contract in the events specified in these general conditions, the special conditions, conditions of additional insurance, and in the events provided by law.

10.4. The insurance contract shall expire in the events provided in the special conditions and/or the conditions of additional insurance or law.

10.5. If the financial plan/insurance contract expires due to withdrawal from it or its cancellation or proves to be void, the insurer/company shall pay the policyholder/client/member the surrender value of insurance if it has been agreed and the surrender value has been created by this time.

10.6. The surrender value of insurance shall be calculated in accordance with the recognized actuarial rules by the date of withdrawal from the contract or cancellation of the contract. Upon payment of the surrender value, overdue insurance premiums shall be deducted from it or other deductions specified in these general conditions shall be made according to the price list.

11. Changing the insurance contract to premium exempted and reduction of premiums

11.1. With one month’s notice, the policyholder/client/member may request that the financial plan/insurance contract be changed so that the policyholder/client/member is not required to continue paying the premiums during the validity period of the contract. In such case, the insurer/company shall reduce the sum insured according to the recognized actuarial rules, taking into account the existing reserve of the premiums, as at the date of change of the contract to tax exempt.

11.2. With one month’s notice, the policyholder/client/member may request a reduction of the premiums in writing. In such case, the insurer shall reduce the sum insured according to the recognized actuarial rules as at the date of reduction of the premiums, taking into account the existing reserve of premiums and the reduced premiums to be subsequently paid.

11.3. The policyholder/client/member may demand the changing of the financial plan/insurance contract to premium exempted or a reduction of the premiums if the remaining sum insured equals at least the minimum amount that has been agreed between the insurer/company and the policyholder/client/member and is specified in the special conditions. Otherwise, the insurance contract cannot be changed to premium exempted, and/or the premiums cannot be reduced, i.e., the insurance contract can be only canceled and the policyholder/client/member re-deducted from the reserve of the premiums.

12. Profit sharing

12.1. To provide the agreed financial plan/insurance cover, the insurer/company shall collect the premiums. Upon calculation of the premiums, it is taken into account that at all times the insurer/company shall have funds to pay the agreed sums insured and other sums under the contract, as well as to cover the expenses related to the conclusion and administration of the contract. Therefore, the calculation of premiums shall be based on conservative actuarial values (estimated interest, mortality, and expenses).

12.2. The insurer/company shall have profit:

12.2.1. from the investment income of premiums, if it exceeds the  estimated interest used for calculation of the premiums;

12.2.2. from the unused parts of the risk part of premiums, if the actual mortality of the insured persons differed from the estimate;

12.2.3. from the unused parts of expenses taken into account in the premiums, if the actual expenses of the insurer/company were smaller than the estimate.

12.3. The insurer/company shall pay a part of the profit received from the insurance activities to the policyholders/clients/members. The part to be allocated to the policyholder/client/member is referred to as the policyholder’s share of profit.

12.4. The manner of using the profit share depends on special conditions.

13. Appointment of beneficiary

13.1. The policyholder/client/member has the right to appoint a third party as a beneficiary and to change that person.

13.2. If the policyholder/client/member has appointed several persons as beneficiaries deemed to be beneficiaries in equal parts.

13.3. A share that any of the beneficiaries refuses to receive or cannot receive shall be added to the shares of other beneficiaries.

13.4. If a beneficiary dies or a beneficiary that is a legal person terminates its activities before the occurrence of the term/insurance event, the insurer/company shall perform its obligation to the policyholder/client/member or its successors unless the policyholder/client/member has specified otherwise before the occurrence of the insurance event. Notification of the changes described shall be provided via the company’s/insurer’s webpage (https://www.globalmfinance.com/) or the mass media.

14. Notification obligation of the insurer/company

During the term of the term/insurance contract, the insurer/company shall be obligated to notify the policyholder/client/member of any changes to the insurer’s name, legal form, address, also the address of the branch office where the insurance contract was entered.

15. Payment of the sum insured, insurance indemnity, and other contractual sums

15.1. Documents necessary to make the payment. The sum insured, insurance indemnity, and other contractual amounts shall be paid upon submission of the following documents:

− written application for payment of the contractual amount, including the bank account number;

− a document certifying the identity of the person submitting the application;

− other documents, the need for submission of which has been substantiated by the insurer/company, and/or the obligation to submit arising from law.

– Death certificate, burial certificate, cremation certificate, or affidavit in the event of death of policyholder/client/member.

15.2. The insurer/company shall be immediately informed of the death of the insured person or policyholder/client/member by the next of kin listed on file.

15.3. For payment of the sum/term insured in relation to the death of the insured person, the following documents shall be submitted in addition to those specified in clause 15.1:

15.3.1. death certificate, burial certificate, cremation certificate, or affidavit;

15.3.2. detailed certificate of a physician (medical institution) or a relevant authority, in a form established by the insurer/company, concerning the circumstances having caused the death receive the surrender value of term/insurance.

15.4. In the case of pension insurance, the insurer/company has the right to verify and make inquiries as to whether the insured person is alive.

15.5. To ascertain the obligation to make the payment, the insurer/company may demand any necessary additional evidence and procure the relevant data itself.

15.6. Upon making the contractual payments, overdue insurance premiums shall be deducted from them and other deductions specified in these general conditions shall be made according to the price list.

15.7. Payments shall be made within ten working days after the submission of all necessary documents and establishment of the basis for payment. If a criminal or misdemeanor proceeding has been commenced in relation to the insurance event, on the results of which the insurer’s obligation to perform the contract may depend, the insurer/company has the right to postpone the payment until the relevant lawful decision enters into force.

16. The limitation period for claims

16.1. The limitation period of claims under the insurance/term contract shall be three years. The limitation period shall be assessed from the end of the calendar year in which the claim becomes collectible.

16.2. If the insurer/company has informed the client of refusal to satisfy the application, the insurer/company shall be released from the obligation to perform the contract if the entitled person does not file an action with a court within one year as of the receipt of a written decision from the insurer/company concerning the refusal to satisfy the application. The insurer/company shall be released from the obligation to perform the contract only if in its reply the insurer informs the policyholder/client/member of the one-year legal consequence of the expiry of the limitation period.

17. Processing of personal information and protection of information submitted by the policyholder, including confidentiality

17.1. The insurer/company has the right to process the personal information of the policyholder/client/member and the insured person, without their consent, in order to perform the insurance contract or ensure the performance of the contract, assess the insurance risk or for other operations preceding the conclusion of the contract in case, if the policyholder/client/member has submitted an application for conclusion of the contract and the conclusion of the contract requires the conducting of such operation(s).

17.2. The insured person agrees that the insurer/company shall also process his (her) sensitive personal information (information concerning the health condition or disability of the client) in the event and for the purpose specified in clause 17.1.

11.4. Upon changing the term/insurance contract to tax exempted and reducing the premiums, the outstanding premiums shall be Valid.

17.3. The insurer/company has the right to preserve personal information for the purpose of ensuring the performance of the contract until the expiry of the claim arising from the contract unless the law provides otherwise.

17.4. Upon an insurance/term event, third parties may submit, without the consent of the insured person, to the insurer/company the personal information or enable access to the personal information that is necessary for the insurer to ascertain the obligation to perform the term/insurance contract or the scope of its non-performance.

The above provision shall also apply to the information concerning the health condition or disability of the insured person if it is necessary to the insurer for the performance of the contract or if it is necessary to identify the obligation to perform the contract and the scope of such obligation. The insurer/company shall strictly comply with the requirements provided in the Personal Data Processing Act.

17.5. The policyholder/client/member and insured person agree that the insurer/company shall use their personal information (name and contact information) to offer them the additional insurance/term services and forward the information on the services of the insurer/company.

17.6. The policyholder shall agree that the insurer may submit his (her) personal information to financial companies belonging to the same consolidation group as the insurer/company in order to provide the policyholder/client/member the information based on his (her) estimated financial needs and additional financial services. Such financial companies are Global M Finance LLC – 651 N Broad St, Ste 205 #7143 Middletown, Delaware 19709 -Tel: 1(347) 939-3750

The personal information to be forwarded shall include the name and personal information of the person (address, phone number, e-mail address).

The policyholder/client/member shall have the right, at any time, to withdraw his (her) consent to the processing of the information.

The withdrawal of the consent shall not have any retroactive effect. The policyholder shall have the right to prohibit the processing of the information concerning him (or her) for the purpose of examining consumer habits or direct marketing.

18. Possible conflicts between the conditions

Upon any conflict between the general conditions and the special conditions of the insurance/financial product, the wording of the special conditions of the insurance/financial product shall be adhered to. Upon any conflict between the provisions of the conditions of the insurance/financial product and the provisions of the risk or special conditions, the wording of risk or special conditions shall be adhered to.

19. Use of foreign-language documents

19.1. In addition to English-language insurance/financial term contract documents, a translation into a foreign language may be added by agreement between the parties. The meaning of a translation shall have a clarifying purpose only. In case of conflict between a translation and an English-language document, the English-language document shall be adhered to.

19.2. If by agreement a foreign-language document is part of a financial plan/insurance contract (international terms and the like), a translation of this document into English shall be appended to the insurance contract.

20. Procedure for resolution of disputes

20.1. The policyholder/client/member shall have the right to address the Conciliation Body operating as part of the English Insurance Association for the resolution of disputes with the insurer/company. A claim shall be filed with the insurer/company regarding the point of dispute and an opportunity shall be given to the insurer to respond to the claim before the conciliation proceedings. If the client is not satisfied with the response of the insurer/company, they shall have the right to address the Conciliation Body for insurance disputes.

20.2. Disputes arising from financial plan/insurance contracts (including disputes in regard to which agreement was not reached with the Conciliation Body for disputes) shall be resolved in Middletown County Court.

20.3. The policyholder/client/member shall have the right to file a complaint with the Financial Supervision Authority regarding the activities of the insurer/company.