Allianz Life Adds Accumulation Bonus, New Index Option to Fixed Index Universal Life Insurance Policies
August 10, 2015 by Business Wire
MINNEAPOLIS, Aug 04, 2015 (BUSINESS WIRE) — Allianz Life Insurance Company of North America (Allianz Life®) today announced enhancements to both the Allianz Life Pro+® Fixed Index Universal Life Insurance (FIUL) Policy and Allianz Life Pro+ SurvivorSM Fixed Index Universal Life Insurance (FIUL) Policy. In addition to helping agents provide income-tax-free death benefit protection for beneficiaries, these FIUL policies now offer a guaranteed accumulation bonus and the opportunity for clients to allocate to the new, exclusive Barclays US Dynamic Balance Index II and take advantage of Allianz Life’s dynamic in-house hedging capabilities.
The guaranteed accumulation bonus provides a 0.6% annual bonus to the accumulation value on all new policies starting in years 11+, offering more opportunity to build the cash value of the policy. The new Barclays US Dynamic Balance Index II is comprised of the Barclays US Aggregate RBI® Series 1 Index and the S&P 500® Index and shifts weighting daily, up to 3%, between them based on realized market volatility. The Barclays US Aggregate RBI® Series 1 Index is comprised of a portfolio of derivative instruments plus cash that are designed to track the Barclays US Aggregate Bond Index. The new Barclays US Dynamic Balance Index II, available with annual point-to-point interest crediting, provides customers with increased flexibility to diversify their policy’s asset allocation strategy to help meet their desired goals.
“In addition to providing important death benefit protection, the latest enhancements to our FIUL policies continue to make them competitive and able to address the demands of varied financial conditions facing today’s consumers,” said Jason Wellmann, senior vice president of Life Insurance Sales for Allianz Life. “We’re confident these unique benefits continue to make these products attractive options for consumers’ life insurance needs.”
In addition to these product enhancements, Allianz Life Pro+ now offers a lower standard loan rate of net 1% to newly issued policies on any available cash value income-tax-free via policy loans or withdrawals.1 The death benefit, which is provided income-tax-free to beneficiaries, can address needs that may include income replacement, a college funding strategy, paying down a mortgage or other debts, estate tax coverage, final expenses, and business succession.
Launched in 2011, some advantages of Allianz Life Pro+ include:
Tax advantages, including income-tax-free death benefit to beneficiaries, potential to build cash value on a tax-deferred basis, and policy loans from any available cash value that are income-tax-free while the policy remains in force.1
Chronic Illness Accelerated Benefit Rider2 – Clients can accelerate a portion of their death benefit if they become chronically ill or cognitively impaired (under specific criteria). This feature is included with the policy at issue, and can help clients prepare financially should they become chronically ill.
Premium Deposit Fund (PDF) Rider – Allows clients to fund the PDF Rider with a single lump sum amount with annual planned premiums automatically transferred from the PDF Rider to the life insurance policy.3
Optional Inflation Protection Rider that can help loan amounts address the effects of inflation, which is available at an additional cost at the time it is exercised. There is no additional cost if the Inflation Protection Rider is not exercised.
Cash value accumulation potential that can earn interest based on a variety of index allocations that include the S&P 500® Index, an exclusive blended index, and the Barclays US Dynamic Balance Index II for newly issued policies. A fixed interest allocation is also available. With the built-in annual reset feature, any indexed interest credited is locked in and can never be lost due to market volatility, meaning the policy’s cash value is guaranteed to never decrease due to negative index changes. Certain fees and expenses will reduce cash value.
Policy loans and withdrawals1 – including a low 5% guaranteed indexed loan interest rate – that can help supplement retirement income, supplemental college funding, financial emergencies, or business succession planning and more. The 5% indexed loan rate is guaranteed, and among some of the most competitive indexed loan rates available within the life insurance industry.
Keep in mind that 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 meets their needs.
No single index or crediting method produces the best results in all market conditions. Although an external index may affect the interest credited, the policy does not directly participate in any equity or fixed income investments. Clients are not buying shares in an index.
For more information about Allianz Life Pro+ and Allianz Life Pro+ Survivor, visit www.allianzlife.com.
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. Tax laws are subject to change. You should consult a tax professional.
2 Subject to certain age and underwriting requirements, and available at an additional cost at the time the rider is exercised. Not available in all states.
3 Minimum number of planned premium transfers is three, and the maximum number of premium transfers is 10.
Guarantees are backed by the financial strength and claims-paying ability of the issuing company.
Contract P54350 is issued by Allianz Life Insurance Company of North America. Product and feature availability may vary by state.
The S&P 500® Index is comprised of 500 stocks representing major U.S. industrial sectors. The Dow Jones Industrial Average is a popular indicator of the stock market based on the average closing prices of 30 active U.S. stocks representative of the overall economy. S&P® is a registered trademark of Standard & Poor’s Financial Services LLC (“S&P”) and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”). These trademarks have been licensed for use by S&P Dow Jones Indices LLC and its affiliates. S&P® and S&P 500® are trademarks of S&P and Dow Jones®, Dow Jones Industrial Average℠, DJIA and The Dow are trademarks of Dow Jones. These trademarks have been sublicensed for certain purposes by Allianz Life Insurance Company of North America (“Allianz”). The S&P 500 and Dow Jones Industrial Average (DJIA) are products of S&P Dow Jones Indices LLC and/or its affiliates and have been licensed for use by Allianz. Allianz products are not sponsored, endorsed, sold, or promoted by S&P Dow Jones Indices LLC, Dow Jones, S&P, or their respective affiliates and neither S&P Dow Jones Indices LLC, Dow Jones, S&P, or their respective affiliates make any representation regarding the advisability of investing in such product.
The Barclays US Dynamic Balance Index II is comprised of the Barclays US Aggregate RBI® Series 1 Index and the S&P 500® Index and shifts weighting daily, up to 3%, between them based on realized market volatility. The Barclays US Aggregate RBI® Series 1 Index is comprised of a portfolio of derivative instruments plus cash that are designed to track the Barclays US Aggregate Bond Index. The Barclays US Aggregate Bond Index is comprised of Barclays US investment-grade, fixed-rate bond market securities, including government agency, corporate, and mortgage-backed securities. Barclays Risk Analytics and Index Solutions Limited and its affiliates (“Barclays”) is not the issuer or producer of any Allianz products and Barclays has no responsibilities, obligations or duties to investors in respect of the Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 Index or the Barclays US Dynamic Balance Index II. The Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 and the Barclays US Dynamic Balance Index II are trademarks owned by Barclays, and the Barclays US Aggregate Bond Index and the Barclays US Dynamic Balance Index II are licensed for use by Allianz Life Insurance Company of North America as the Issuer of the Allianz product. While Allianz may for itself execute transaction(s) with Barclays in or relating to the Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 Index or the Barclays US Dynamic Balance Index II with Allianz products, investors acquire Allianz products from Allianz Life Insurance Company of North America and investors neither acquire any interest in the Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 Index or the Barclays US Dynamic Balance Index II nor enter into any relationship of any kind whatsoever with Barclays upon making an investment in any Allianz product. The Allianz products are not sponsored, endorsed, sold or promoted by Barclays and Barclays makes no representation regarding the advisability of any Allianz product or use of the Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 Index or the Barclays US Dynamic Balance Index II or any data included therein. Barclays shall not be liable in any way to the Issuer, investors or to other third parties in respect of the use or accuracy of the Barclays US Aggregate Bond Index, the Barclays US Aggregate RBI® Series 1 Index or the Barclays US Dynamic Balance Index II or any data included therein.
The EURO STOXX 50®, Europe’s leading Blue-chip index for the Eurozone, provides a blue-chip representation of supersector leaders in the Eurozone. The index covers 50 stocks from 12 Eurozone countries: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal and Spain.
The EURO STOXX 50® is the intellectual property (including registered trademarks) of STOXX Limited, Zurich, Switzerland. Allianz products based on the Index is in no way sponsored, endorsed, sold or promoted by STOXX and shall not have any liability with respect thereto.
The Russell 2000® Index is an equity index that measures the performance of the 2,000 smallest companies in the Russell 3000® Index, which is made up of 3, 000 of the biggest U.S. stocks. The Russell 2000 Index is constructed to provide a comprehensive and unbiased small-cap barometer and is completely reconstituted annually to ensure larger stocks do not affect the performance and characteristics of the true small-cap index.
The Russell 2000® Index is a trademark of Russell Investments and has been licensed for use by Allianz Life Insurance Company of North America. Allianz products are not sponsored, endorsed, sold or promoted by Russell Investments and Russell Investments makes no representation regarding the advisability of investing in Allianz products.
About Allianz Life Insurance Company of North America
Allianz Life Insurance Company of North America, one of FORTUNE’s 100 Best Companies to Work For in 2015, has been keeping its promises since 1896. Today, it carries on that tradition, helping Americans achieve their retirement income and protection goals with a variety of annuities and life insurance products. As a leading provider of fixed index annuities, Allianz Life is part of Allianz SE, a global leader in the financial services industry with 147,000 employees worldwide. More than 85 million private and corporate customers rely on Allianz knowledge, global reach, and capital strength to help them make the most of financial opportunities.
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.
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SOURCE: Allianz Life Insurance Company of North America
Allianz Life Insurance Company of North America
Sara Thurin Rollin, 763-765-6703
sarathurin.rollin@allianzlife.com
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