North America Expands Universal Life Insurance Product Line Index
DES MOINES, Iowa, May 24, 2021 / PRNewswire / – North American Life and Health Insurance CompanyÂ® (North America) now offers an Indexed Universal Life (UI) product that provides the protection in the event of death that only life insurance can provide, while building up potential long-term cash value at other purposes, including to help supplement retirement income. Builder Plus IUL 3 is a new addition to IUL’s innovative portfolio in North America.
âEarning and increasing cash value is critical, as clients often buy years of protection, if not decades, before needing to help supplement their retirement income. In this case, time is literally money, âsaid Jerry blair, North America, Head of Distribution. “This policy addresses a growing consumer need – how to protect your family while having the opportunity to accumulate cash value or tax benefits for your entire financial portfolio.”
This IUL insurance product helps clients looking to plan for their financial future. Builder Plus IUL 3 is ideal for those:
- in need of protection in the event of death
- concerned about his family’s financial needs if death occurs during working years
- who have maximized 401 (k) savings plans or individual retirement accounts – or who may not qualify for an IRA
- who have a high income, a large amount of assets to protect, or both
- looking for the possibility of mitigating the tax consequences on future retirement funds
âThis product is designed to be competitive in the way it delivers potential future additional income streams,â said Blair. âIt is often necessary as policyowners face retirement. It also makes this product stand out in a crowded market.
New IUL includes Fidelity Multifactor Yield IndexSM 5% ER option which, as part of its strategy, aims to reduce volatility. The Fidelity Index is exclusive to North America1, and currently has a participation rate of 125%, no cap, an unsecured bonus of 1.65% from its first year and an unsecured bonus of 2.65% in the 11th year and beyond with rates subject to change.
Builder Plus IUL 3 Offers Fixed Interest Participation Policy Loan2 which uses a stated interest rate and participates in the index account. Available in the first year of the policy, the loan currently receives a 2% interest subsidy, but is not eligible for other interest bonuses. This type of loan can allow for better management of the cash value and provide an opportunity for better financial performance.
Additionally, clients can access a portion of the policy’s death benefit while living through accelerated death benefits, if they are diagnosed with a qualifying illness.
To simplify the application process, Builder Plus IUL 3 is available with expedited subscription and the option to skip lab tests or exams, online application, and electronic signature options if a face-to-face meeting. with an agent is not possible or preferred.
North American Grows Index Universal Life Product Line / 2-2-2
About the North American Life and Health Insurance Company
North American Life and Health Insurance CompanyÂ® is a member of SammonsÂ® Financial Group, Inc. Since 1886, North America has established a tradition of providing quality insurance products to consumers throughout the United States. We offer a comprehensive portfolio of term, universal life and indexed universal life products. North American also offers a wide variety of traditional fixed and fixed index annuities and consistently ranks among the top 10 fixed index annuity writers in the United States. (Source: WINK Sales & Market Reports and LIMRA Secure Retirement Institute). For more information, please visit here.
- Exclusive to North American as part of Sammons Financial Group. North American has licensed the Fidelity Multifactor Yield Index 5% ER for exclusive use on its IUL products.
- The net cost of a fixed interest participating policy loan can be negative if the credits earned are less than the interest charged. The net cost of the loan could also be higher than that of standard policy loans if the amount credited is less than the interest charged. In the extreme example, the amount credited could be zero and the net cost of the loan would equal the maximum interest rate applied minus any guaranteed bonus. In short, fixed interest rate loans have more uncertainty than standard policy loans as to the rate of interest credited.
The Fidelity Multifactor Yield 5% ER Index (the âIndexâ) is a multi-asset index, providing exposure to companies with attractive valuations, high quality profiles, positive momentum signals, higher volatility. low and a higher dividend yield than the larger market like US Treasuries, which can reduce volatility over time. Fidelity and its associated marks are service marks of FMR LLC. Fidelity Product Services LLC (“FPS”) has granted a license to use this index for certain purposes for North American Life and Health Insurance CompanyÂ® (the “Company”) on behalf of the Product. The Index is the exclusive property of FPS and is created and compiled without regard to the needs, including, but not limited to, the suitability needs of the Company, the Product or the owners of the Product. The Product is not sold, sponsored, endorsed or promoted by FPS or any other party involved or connected with the creation or compilation of the Index. The Company exercises its absolute discretion to determine if and how the Product will be linked to the value of the Index. FPS does not provide investment advice to the owners of the Product, or to any other person or entity with respect to the Index, and under no circumstances will a Product contract owner be considered a customer of FPS.
Neither FPS nor any other party involved or connected with the creation or compilation of the Index has any obligation to continue to provide the Index to the Company with respect to the Product. Neither FPS nor any other party involved in, or related to, the creation or compilation of the Index makes any representation regarding the Index, Index information, performance, annuities in general or the Product in particular. . Fidelity Product Services LLC disclaims all warranties, express or implied, including all warranties of merchantability or fitness for a particular purpose or purpose. Fidelity Product Services LLC assumes no responsibility of any kind with respect to the product.
Indexed universal life insurance products do not constitute an investment in the âmarketâ or in the applicable index and are subject to all policy fees and charges normally associated with most universal life insurance policies.
Builder Plus IULÂ® 3 is issued on the LS191 Police Forms Series or State version, including all applicable endorsements and endorsements, by North American Life and Health Insurance CompanyÂ®, Administrative office, One Sammons Plaza, Sioux Falls, SD 57193. Products, features, endorsements, endorsements or age of issues may not be available in all jurisdictions. Limitations or restrictions may apply.
SOURCE North American Life and Health Insurance Company