Lincoln Financial Responds to AG 38

As I mentioned in previous articles, AG38 and the ongoing low-interest rate environment have forced some carriers out of the No-Lapse Guaranteed (NLG) UL business.  Others have repriced theirs and in some instances introduced premium caps. However, a couple of these same carriers have come up with dramatically new product models to try to preserve NLG UL’s strengths but at less risk to the carrier than old models had.

Transamerica’s introduction of “Real Time Pricing” earlier this year was the first example of this thinking outside the box.

https://jeffreyberson.com/2013/01/31/transamerica-responds-to-ag-38/

Now, Lincoln Financial’s Treasury IUL will be the second.  And it bears your attention.   They are very excited about it.  Let’s just say that, in how it works, Treasury IUL has elements of a dial-a-guarantee NLG UL, an IUL, and, believe it or not, par whole life.  Treasury IUL policy credits can be used in several ways that are similar to dividends.  There is one big difference, par whole life dividends are calculated in some black box no one outside the company knows.  Treasury IUL policy credits are stated in the policy as a function of the Treasury’s yields.  A client who tracks those will know exactly what he should get ahead of time.

There is an upcoming webinar scheduled for Friday…call our office if you want the scoop on this new innovative design.  This will be something new and different to discuss with your clients.

 

About Jeffrey Berson

40 years in and around the industry has made Insurance a part of my DNA. I have had the pleasure of working with and for some of the greatest minds in our industry. My "Bersonal" View is an attempt to capture some of the best ideas, the best concepts and the best practices in a way that can lead to success for others. It will certainly be my point of view, so please...don't take it "Bersonal".
This entry was posted in Bersonal Posts. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s