ING IUL How is It Compared to North American IUL

ING over NA. Especially for loans. ING has a 3% fixed rate and a 6% (i think) Indexed Rate.

They also have two different IULs. Traditional S&P based and the "Global Outlook" which is a 3 year lookback of the S&P/Hang Sang/Eurostox, and takes a weighted combo of the top two performers.


NA isnt a bad product. But I dont like their loans. For NDR loans its a variable rate that uses a bond index and multiplier to come up with the rate. Complicated and...well...variable...
 
I am not an IUL pro, so forgive my ignorance. How does the American National IUL compare to other top performing IUL's.

ING over NA. Especially for loans. ING has a 3% fixed rate and a 6% (i think) Indexed Rate.

They also have two different IULs. Traditional S&P based and the "Global Outlook" which is a 3 year lookback of the S&P/Hang Sang/Eurostox, and takes a weighted combo of the top two performers.


NA isnt a bad product. But I dont like their loans. For NDR loans its a variable rate that uses a bond index and multiplier to come up with the rate. Complicated and...well...variable...
 
First of all, you need to understand the three different types of loan on indexed life, in order to make a judgement. Read my article entitled "Why withdrawals to basis is blase" at ProducersWeb for a simple explanation of loan options on indexed life products.

North American offers fixed and variable loans on all of their IULs. Security Life of Denver/ING offers fixed loans in addition to participating fixed rate loans. There are pros/cons to both variable rate loans and participating fixed rate loans. No one is better than the other and they both offer an advantage over fixed rate loans in that they continue to credit indexed interest on the monies that are loaned against.

As for how Midland National's IUL "stacks up," take a look at the North American products. Midland and North American are sister companies and many of their products are nearly identical across company lines.

American National, on the other hand, does offer both fixed and variable loans. However, their product doesn't sell as well as the aforementioned companies. This doesn't mean it is not as good, but it has less bells and whistles. Relatively speaking, however, when you compare all companies' cash value accumulation IULs against one another, the American National product has lower charges. sjm
 
American National, on the other hand, does offer both fixed and variable loans. However, their product doesn't sell as well as the aforementioned companies. This doesn't mean it is not as good, but it has less bells and whistles. Relatively speaking, however, when you compare all companies' cash value accumulation IULs against one another, the American National product has lower charges. sjm

I just recently took another look at ANICOs IUL after an email prompted me to.

It seems that they have made some nice changes to the product since I last researched it.

Anico really pissed me off recently with a case, so I am hesitant to send them more business at the moment...

How much lower do they tend to be would you say?
 
Penn,

2% floor 12% cap, same thing as the 0% floor and 14% cap if you think about it. 4% fixed account. Wash loan on the fixed loan, 6% interest on the indexed loan. 5% premium charge years 1-10 and 0% premium charge years 11+. 9 year surrender period with a small rate bump years 10+.

Super attractive waiver rider.

A Mutual, with great financials (ING's comdex is WHAT?)

And...

No pesky IMO to deal with ;)
 
Penn,

2% floor 12% cap, same thing as the 0% floor and 14% cap if you think about it. 4% fixed account. Wash loan on the fixed loan, 6% interest on the indexed loan. 5% premium charge years 1-10 and 0% premium charge years 11+. 9 year surrender period with a small rate bump years 10+.

Super attractive waiver rider.

A Mutual, with great financials (ING's comdex is WHAT?)

And...

No pesky IMO to deal with ;)

Yeah Penn's product is top notch. 2% floor is huge.
They can be a hard sell in some of my deferred comp cases, not very recognizable, and not very large.

LFG has never received push back despite the lower rating and being public... clients just dont think like we do!
 
Hows Penns par wl compared to their iul?

It's actually a really great whole life product. I used to beat them up a a bit because their selection was so "limited." I looked at them as just having a plain vanilla whole life contract and no HECV products for the markets I spend most of my time in.

There approach is shockingly deceiving. That one little whole life product can accommodate a lot of situations.

It's not likely going to win any spread sheets over initial premium, but those of us who understand life insurance and total cost a la reserves know that comparisons is a fool's game.

The product accumulates cash quite well, especially on a guaranteed basis.

What's more amazing is the incredible flexibility concerning their PUA rider. On this topic, they have the contract to beat. The minimum required PUA amount is $25...every 3 years. And the maximum is actually chosen at issue (there's some justification on the side of financial underwriting that needs to take place, but this is great compliance/suitability safety net). The max can be several times the base premium.

They also have a great waiver rider and they have the only whole life product I'm aware of with an over-loan rider.

The Achilles heal? Direct recognition and blending limitations.

Direct recognition in the first 10 years drags them down a bit. They do, however, have a preferred dividend after 10 years that guarantees they'll peg the loaned div rate to the loan interest rate.

The max blend is 4:1 term to whole life, which is a little on the light side when it comes to some competitors. There are those who would question why anyone would reasonably want to go beyond this blend. I could show you plenty of examples.

All in all, really solid contract. I've come to like it a lot.
 

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