Prudential Individual Life Insurance continues to help customers with their life insurance needs in this challenging time of interest rate changes and market volatility. To do that, we take a prudent financial approach by
continuously reevaluating our product portfolio and have made some adjustments to our offerings. More specifically:

  • We’re reducing caps and credited rates for IUL products. We strive to balance financial discipline and impacts to the index accounts and the upside they can offer. However, significant changes in interest rates and market volatility caused IUL index parameters to be adjusted. The new spreads and caps for impacted index accounts will be effective for index segments beginning April 15.
  • We’re restricting single pays on Universal Life products. As a result of significant decreases to current interest rates, we will restrict single and short pay sales on all UL products, excluding VUL, effective April 13.
  • We’re suspending sales of 30-year Term products until June. There will be a temporary suspension of Term Essential / Elite 30-Year Reprice Term Essential and Term Elite, effective April 13. Our goal is
    to reprice and reintroduce Term30 sales in June.
  • We’re revising the large case review thresholds for UL Protector, SUL protector and SIUL. Effective April 13, they will be the same thresholds already in place for IAUL, Founders Plus, and
    Essential UL, which is at least $1M of total premium in any policy year. All other products (mainly VUL) would stay the same at $5M in year one and $1M in other years.
  • We’re increasing pricing on UL protector. To restore and maintain profitability, we will increase pricing on UL Protector, effective April 27. The new rates will result in an average increase of 8 to 12% in all
    states (except New York) depending on age, underwriting class, and premium funding patterns.

Although, the current landscape is fluid, we are confident these actions put us in a much better position to withstand the low-interest-rate environment. Additional information including transition rules will be shared on
April 3, 2020.

Corporate Headquarters:
604 Harper Avenue, Jenkintown, PA 19046 | P: 800.543.5555 / 215.517.4080 | F: 800.343.0804 / 215.517.4087

Miami Office:
3470 NW 82nd Avenue, Suite #670, Doral, FL 33122 | P: 800.683.3077 / 305.908.6700 | F: 800.343.0804

Securities offered through The Leaders Group, Inc. Member FINRA/SIPC 26 W. Dry Creek Circle, Suite 800, Littleton, CO 80120, 303-797-9080.

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