Which IUL is Better, Nationwide or North America?

[DHK]

Yes. Just select it under optional reports.

 

[DWPCL]

Yes. Just select it under optional reports.

I meant the 3% guarantee.

 

[BNTRS]

There are a few companies that offer a "recap" or a "look-back" after a period of time and credit a minimum interest rate if the product didn't perform.

I know Aviva had something like this. (I don't know if Athene/Accordia still does.) After 8 years, if the policy didn't earn at least 3% per year, they would retroactively credit the policy to make it whole to 3% for 8 years... and do that every 8 year period.

However, you have to keep the policy in force in order to get it.

That's not 100% correct. Several carriers pay the guaranteed accumulation rate upon surrender. So if the contract hasn't performed at the minimum % rate per year up to the year surrendered, then they add that to the money paid upon surrender. In most states, SNFL would force such an action.

 

[L5tc]

Who would pay the guaranteed accumulation rate for instance? (Probably not in NY :-(

 

[msv]

Is there an insurance company that offer IUL with free long term care?

 

[ATM]

There are a few companies that offer a "recap" or a "look-back" after a period of time and credit a minimum interest rate if the product didn't perform.

I know Aviva had something like this. (I don't know if Athene/Accordia still does.) After 8 years, if the policy didn't earn at least 3% per year, they would retroactively credit the policy to make it whole to 3% for 8 years... and do that every 8 year period.

However, you have to keep the policy in force in order to get it.

You do not have to keep the policy inforce to get the 3% minimum policy fund value.

It is applied at surrender, lapse, withdrawal or at the end of each 8 year period if the policy has not credited at least 3% in interest.

Both Midland and NA have this on all of their IUL products.

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Does Midland have that same feature?

The 3% floor is a separate feature from the fixed account which currently pays 4%.

Also, on one product from both Midland and NA the guaranteed bonus is .75% after policy year 10. On others it is .50% beginning in policy year 16.

Midland has three separate single life IUL products and I believe NA has two.

Midland's caps/par rates on their flagship product are higher than NA's but they have slightly higher internal expenses which pay for those caps. Over time the Midland product should outperform simply because the distribution costs are lower. They have a direct contract v NA who market through IMOs.

And those IMOs are not cheap. Think 40% over what typical street comp is or more.

 

[rbuice]

Why are these your only two choices???

 

[rbuice]

Is there an insurance company that offer IUL with free long term care?

There are several from ANICO and AIG are two...

 

[aclaro]

Is there an insurance company that offer IUL with free long term care?

If it's free is not LTC is chronic illness

 

[DHK]

What's the difference?

Both are paid out when you cannot perform at least 2 ADLs.

I know we need to be specific when dealing with the public because we don't want to misrepresent ourselves or our products... but the end result for the client is going to be about the same, right?

Okay, there could be a taxable event on accelerating a death benefit versus tax-free benefits from a true LTC policy. But I think that's probably the main difference?

Here's ANICO's Chronic Illness rider details: Independent Marketing Group of American National