Effective May 14, 2018, subject to state availability, Lincoln will introduce the newest member in its indexed UL portfolio: Lincoln WealthAccumulate IUL (2018) 05/14/18.
Lincoln WealthAccumulate IUL is a top-tier accumulation Indexed UL that offers transparent choices focused on significant growth opportunities and access to cash through distributions. This product will not initially be available in New York.
Product highlights:
A top tier accumulation product.
- New! Interest rate bonuses that begin in year 1. Depending on the account(s) chosen:
- Index Credit Enhancement
- Account Value Enhancement
- New! Interest crediting based Average Monthly Segment Balance to give credit to segment balances that may vary over the 12-month duration due to monthly deductions, withdrawals or fixed loans.
- New! Choice of two high early cash value riders to provide options in business and premium finance cases. Subject to certain requirements.
- Exec Rider, allows 100% return of premium for 10 years if funding requirements are met. Available at an additional cost.
- Surrender Value Enhancement Endorsement, waives surrender charges. No additional rider charge, but higher monthly administrative charges apply for the first 7 years.
Provides clients transparent choices.
New! Choice of three indexed account options linked to the S&P 500 Index (excluding dividends): The Perform, Balance, and Conserve indexed accounts provide options to help meet clients’ long-term goals based on benefit potential and downside protection preferences. Policies can be allocated to one or more account options with the ability to make allocation changes in the future.
- Perform Indexed Account – for those who want the highest benefit potential for an additional cost
1 Year Point to Point (PTP) Perform Indexed Account – Capped with 0% Floor:
Earns the full PTP percentage increase of the S&P 500 Index up to an index growth cap declared at the beginning of the segment year, increased by the Index Credit Enhancement percentage. There is a one-time Asset Based Charge deducted at the creation of each 12 month segment.
| index Credit Enhancement | Asset Based Charge | Cap | Floor | |
| Current | 32.00% | 1.00% | 10.00% | 0.00% |
| Guaranteed | 8.00% | 1.00% | 1.00% | 0.00% |
- Balance Indexed Account – for those who want a balanced approach to benefit potential and downside protection
1 Year Point to Point (PTP) Perform Indexed Account – Capped with 0% Floor:
Earns the full PTP percentage increase of the S&P 500 Index up to an index growth cap declared at the beginning of the segment year, increased by the Index Credit Enhancement percentage.
| Index Credit Enhancement | Cap | Floor | |
| Current | 8.00% | 10.00% | 0.00% |
| Guaranteed | 8.00% | 1.00% | 0.00% |
- Conserve Indexed Account – for those who prioritize guaranteed features with benefit potential
1 Year Point to Point (PTP) Conserve Indexed Account – Capped with 1% Floor:
Earns the full PTP percentage increase of the S&P 500 Index up to an index growth cap declared at the beginning of the segment year, plus an Account Value Enhancement not dependent on positive index performance.
| Account Value Enhancement | Cap | Floor | |
| Current | 0.35% | 8.75% | 1.00% |
| Guaranteed | 0.35% | 1.00% | 1.00% |
Access to cash value
- 9-year surrender charge period
- Tax-advantaged distributions that may provide an additional financial resource or supplement existing retirement income. Choices provide a competitive solution in the accumulation/distribution IUL marketplace:
- Withdrawals
- Fixed and Participating loan options with guaranteed loan charge rates for greater cash flow predictability
Optimal sales design.
- Increasing Death Benefit Option switching to level when premiums cease
- Mid- to heavily-funded premiums
- Minimized death benefits
- 100% allocation to the PERFORM account
- Illustrate distributions through withdrawals to basis then loans, or all loans.
- Illustrated at a 6% ROR
Secure the added protection of a living benefit.
- Choice of chronic care riders
- New! Lincoln LifeAssure Accelerated Benefits Rider provides a no upfront cost benefit with a discounted benefit upon qualification of a permanent chronic illness
- Lincoln LifeEnhance Accelerated Benefits Rider provides access to a known benefit amount for an additional cost, upon qualification of a permanent chronic illness
Rider Availability
The following riders will be available, subject to state availability, on Lincoln WealthAccumulate IUL (2018) – 05/14/18
- Accelerated Benefits Rider (with critical illness)
- Accelerated Benefits Rider
- Lincoln LifeAssure Accelerated Benefits Rider
- Lincoln LifeEnhance Accelerated Benefits Rider
- Alternate Cash Surrender Value Rider (Exec Rider)
- Change of Insured Rider
- Children’s Term Insurance Rider
- Disability Waiver of Monthly Deductions Benefit Rider
- Overloan Protection Rider
- Supplemental Term Insurance Rider on Primary Insured
- Supplemental Term Insurance Rider on Other Insured
- Surrender Value Enhancement Endorsement