Portfolio

Lincoln Financial Expands Indexed Universal Life Suite With Survivorship Product

New offering provides guaranteed coverage on two lives within one policy, with upside potential and features to help keep pace with cost-of-living increases

RADNOR, Pa.–(BUSINESS WIRE)–Lincoln Financial Group (NYSE:LNC) today launched Lincoln WealthPreserve® 2 Survivorship Indexed Universal Life (SIUL) for couples or business partners looking to insure two individuals in a single policy.

Lincoln WealthPreserve® 2 SIUL offers an extended guaranteed death benefit, growth potential with downside protection and optional features for life’s changing needs, while enabling clients to implement estate planning strategies to transfer wealth and minimize the impact of estate taxes.

“SIUL policies continue to see strong demand with industry sales increasing nearly 70% in 2021[1], reflecting the value consumers place in these types of policies to protect their legacies, preserve assets and take advantage of growth opportunities,” said Stafford Thompson, Jr., senior vice president, Life and Executive Benefits Business Management at Lincoln Financial. “For those consumers, Lincoln WealthPreserve® 2 SIUL offers a balance of extended death benefit coverage, growth potential, tax efficiencies and optional features to meet a variety of planning needs.”

Protection and Estate Planning

Lincoln WealthPreserve® 2 SIUL provides an income tax-free death benefit at the end of the last surviving insured’s life and is ideally suited to enable policyholders to transfer a greater inheritance to beneficiaries or provide proceeds to pay estate taxes. If properly structured in an irrevocable trust, the life insurance proceeds from Lincoln WealthPreserve® 2 SIUL may also be free from estate taxes.

Beyond the base protection features offered with Lincoln WealthPreserve® 2 SIUL, clients can add optional protection benefits, including:

  • Supplemental Increase Rider which helps protect against cost of living increases by automatically growing the policy’s coverage by 3% each year
  • Extended No-Lapse Premium Rider which extends the 25-year no-lapse minimum coverage period to a specified duration based on the younger insured’s age
  • Estate Protection Rider to help protect the policy proceeds if an irrevocable trust is not established prior to policy issue

“When it comes to estate planning and transferring wealth, there can be many considerations, such as minimizing the impact of estate taxes, making a charitable gift or ensuring business continuity,” said Andy Bucklee, senior vice president and head of Life and Executive Benefits Distribution, Lincoln Financial Distributors. “Financial professionals can play an important role in developing goals-based estate planning strategies on behalf of clients and helping them understand the flexibility that survivorship products like Lincoln WealthPreserve® 2 SIUL bring to the process.”

For those consumers, Lincoln WealthPreserve® 2 SIUL offers a balance of extended death benefit coverage, growth potential, tax efficiencies and optional features to meet a variety of planning needs...

Growth and Additional Planning Needs

In addition to estate planning, Lincoln WealthPreserve® 2 SIUL can help meet various other financial needs, including offering tax-deferred growth potential, which can be accessed as a source of supplemental income for retirement or other milestones, tax-free[2]. To help clients meet their long-term goals based on return potential and downside protection preferences, Lincoln WealthPreserve® 2 SIUL offers six indexed account options, including two Fidelity AIM® Dividend Indexed Accounts and four indexed accounts linked to the S&P 500®. Policy value can be allocated to one or more account options with the flexibility to make allocation changes in the future.

Lincoln WealthPreserve® 2 SIUL can fund business protection strategies like key person coverage that can help maintain business continuity and solvency in the event of a key employee’s passing.

Lincoln WealthPreserve® 2 SIUL expands Lincoln’s IUL portfolio, which also includes single-life policies Lincoln WealthAccumulate® 2 IUL (2020), for clients prioritizing cash value growth, and Lincoln WealthPreserve® 2 IUL (2020), for clients looking for longer-term, guaranteed death benefit coverage.

Term Pricing Enhancements

Separately, for clients with temporary life insurance needs such as covering a child’s education expenses or a mortgage, today Lincoln also announced enhanced pricing competitiveness on its Term insurance policies, Lincoln LifeElements® Level Term (2019) and Lincoln TermAccel® Level Term (2019).

 

 

 

[1] LIMRA, U.S. Retail Individual Life Insurance Sales Participant Report 2021
[2] Loans and withdrawals will reduce the policy values and death benefit, may cause the policy to lapse and may have tax implications
About Lincoln Financial Group
Lincoln Financial Group provides advice and solutions that help people take charge of their financial lives with confidence and optimism. Today, approximately 16 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, and guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $308 billion in end-of-period account values as of March 31, 2022. Lincoln Financial Group is a committed corporate citizen included on major sustainability indices including the Dow Jones Sustainability Index North America and FTSE4Good and ranks among Newsweek’s Most Responsible Companies. Dedicated to diversity, equity and inclusion, we are included on transparency benchmarking tools such as the Corporate Equality Index, the Disability Equality Index and the Bloomberg Gender-Equality Index. Committed to providing our employees with flexible work arrangements, we were named to FlexJobs’ list of the Top 100 Companies to Watch for Remote Jobs in 2022. With a long and rich legacy of acting ethically, telling the truth and speaking up for what is right, Lincoln was recognized as one of Ethisphere’s 2022 World’s Most Ethical Companies®. Learn more at: www.LincolnFinancial.com. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.