New Fixed Index Universal Life Insurance product offers enhanced flexibility and control
August 20, 2019 — MINNEAPOLIS–(BUSINESS WIRE)–Allianz Life Insurance Company of North America (Allianz Life®) today announced the launch of the Allianz Life Pro+ Advantage℠ Fixed Index Universal Life (FIUL) Insurance Policy, which will serve as the company’s flagship FIUL product. Life Pro+ Advantage was built to be in compliance with the 2020 commissioners standard ordinary (CSO) mortality table. Life Pro+ Advantage offers enhanced flexibility and control, including multiple ways to access available cash value via policy loans and withdrawals1 and the unique index lock feature that provides the ability to lock in indexed interest credit at any point during the crediting period, prior to the policy anniversary2.
“We’ve listened to both financial professionals and their clients and determined the desire for products that can help meet multiple financial needs is stronger than ever,” said Jason Wellmann, senior vice president of Life Insurance Distribution for Allianz Life. “With Life Pro+ Advantage, people can get the reassurance provided by death benefit protection while also adding the flexibility to address other financial needs, including emergencies, college funding, and supplemental retirement income1.”
Multiple Sources Of Retirement Income
According to the Allianz Life 2019 Life Insurance Needs Survey*, 81% of respondents said that the ability to have access to multiple sources of retirement income was an important aspect of financial planning. The same percentage said it was important to have the flexibility to make changes to their assets to meet changing needs, and nearly 70% said they want the ability to fully fund college accounts should they die early.
As part of an overall financial portfolio, Life Pro+ Advantage provides the opportunity to help address these needs via both indexed and fixed interest loans, which can be taken against any available cash value in the policy income-tax-free.1 Policyholders can also access available cash value via withdrawals (partial surrenders) or full surrenders to use the cash value at any time – for any reason.
Life Pro+ Advantage can help people prepare for all stages of life by providing their beneficiaries with a death benefit that is generally income-tax-free as well as the ability to build accumulation value tax-deferred without losses due to market volatility, although fees and charges will reduce policy values.
Policyholders can utilize multiple index allocation options (which include a combination of several indexes and crediting methods), with several indexes only offered by Allianz Life, including the Bloomberg US Dynamic Balance Index II and the volatility controlled PIMCO Tactical Balanced Index. Also new with Life Pro+ Advantage, policyholders can choose between index allocations that include the following options:
- A select index allocation that includes the opportunity for a 40% guaranteed interest bonus rate and 1% annual asset charge2;
- A bonused index allocation that includes the opportunity for a 15% guaranteed bonus rate and no asset charge3;
- Standard index allocations that do not include an interest bonus.
Lock-In Indexed Interest Credit
In addition, the unique index lock feature is a first of its kind in the FIUL marketplace and offers policyholders the ability to lock in their indexed interest credit at any point during the crediting period, prior to the policy anniversary. This helps to protect against a 0% index credit for the crediting period, no matter what happens during the remaining months. This feature is available with the Bloomberg US Dynamic Balance II ER Index and PIMCO Tactical Balanced ER Index.
“More than 90% of respondents in our survey said the ability to save enough to retire comfortably was a top priority when planning for their financial future,” added Wellmann. “We’re confident the newest version of our Allianz Life Pro+ FIUL product line will help Americans as they plan to accomplish multiple goals.”
For more information about Life Pro+ Advantage as well as important index information and disclosure, visit www.allianzlife.com/life-insurance.
Most life insurance policies require health underwriting and financial underwriting. Life insurance involves certain fees and expenses. Individuals should discuss with their financial professional whether a life insurance policy helps meet their needs.
The indexes available within the policy are constructed to keep track of diverse segments of the U.S. or international markets, or specific market sectors. These indexes are benchmarks only. Indexes can have different constituents and weighting methodologies. Some indexes have multiple versions that can weight components or may track the impact of dividends differently. Although an index may affect your interest credited, you cannot buy, directly participate in or receive dividend payments from any of them through the policy.
1 Policy loans and withdrawals will reduce available cash values and death benefits, and may cause the policy to lapse or affect any guarantees against lapse. Additional premium payments may be required to keep the policy in force. In the event of a lapse, outstanding policy loans in excess of unrecovered cost basis will be subject to ordinary income tax. If a policy is a modified endowment contract (MEC), policy loans and withdrawals will be taxable as ordinary income to the extent there are earnings in the policy. If any of these features are exercised prior to age 59½ on a MEC, a 10% federal additional tax may be imposed. Tax laws are subject to change. You should consult a tax professional.
2 The index value used to determine interest credited may be higher or lower than the index value at the time of request.
3 Bonus products may include higher surrender charges, longer surrender periods, lower caps, or other restrictions that are not included in similar products that don’t offer a bonus. There is no guarantee that a policy will be credited with an interest bonus every year as it is based on the growth of an external index.
Guarantees are backed by the financial strength and claims-paying ability of the issuing company.
Product (P64339) is issued by Allianz Life Insurance Company of North America.
About Allianz Life Insurance Company of North America
Allianz Life Insurance Company of North America, one of the FORTUNE 100 Best Companies to Work For® in 2019, has been keeping its promises since 1896 by helping Americans achieve their retirement income and protection goals with a variety of annuity and life insurance products. In 2018, Allianz Life provided $2.8 billion in benefit payments that helped policyholders achieve their financial goals. As a leading provider of fixed index annuities, Allianz Life is part of Allianz SE, a global leader in the financial services industry with over 142,000 employees in more than 80 countries. Allianz Life is a proud sponsor of Allianz Field in St. Paul, Minnesota, home of Major League Soccer’s Minnesota United.
Allianz Life Insurance Company of North America offers insurance and annuities in all states except New York. In New York, products are issued by Allianz Life Insurance Company of New York.
*Allianz Life Insurance Company of North America conducted an online survey, the 2019 Life Insurance Needs Survey, in March 2019 with 800 respondents age 35-60, having an annual household income of $100K+.