Industry’s first indexed whole life product debuts today from Ohio National

[scagnt83]

Does that mean that you can borrow the cash value even though none of it is indexed? Or is the account value the amount you can borrow (i.e. $0)?

Im sure you can borrow from the Surrender Value since Account Value zeros out on both illustrations.

That is a HORRIBLE rate of return on CV. Maybe that policy was not maxed out at MEC limits?

 

[Allen Trent]

They offer a 5.5% fixed interest rate on the Single Premium account on 1035 exchanges and 4% on the dollar cost averaging account. Also, an uncapped S&P index option with a current spread of 9%. On the illustration the guaranteed 0% returns show that at age 70 the account value hits $0 and the cash surrender value is over $140k. Does that mean that you can borrow the cash value even though none of it is indexed? Or is the account value the amount you can borrow (i.e. $0)?

.......until they reverse course like they did when they essentially ended dividends, etc