Advisors Blog

JH Vitality Reward Bonus Change Effective February 6, 2023

Vitality is getting even more rewarding for you. Starting February 6, boost your comp up to a total of 12 points when you sell our permanent life insurance products with Vitality PLUS.¹

Here's how it works:

• Increase your comp when you issue a policy with Vitality PLUS or your client upgrades from Vitality GO to Vitality PLUS.
• Receive 7 points when the policy is issued with Vitality PLUS or upgraded within 90 days²
• Receive 5 points when the policy is upgraded after 90 days but before 25 months²
• Receive an additional 5 points when your client registers³ for Vitality PLUS within one year of the policy issue date.
• John Hancock will pay you directly as part of your regular comp cycle, unless there is a different arrangement with your firm.⁴

Additional Notes for Producers:

1. Effective on premium payments on or after February 6, 2023. The bonus is available on non-variable permanent policies only, and is not available on Term, Variable or on any policy issued in New York. The bonus is restricted to base comp on paid first year target commissionable premium only and is not payable on unused premium received in the second policy year, excess or renewal comp, or on year two rolling targets. For wholesale business please refer to your firm's comp rules regarding this bonus. Not available if prohibited by firm. Please refer to your firm's comp rules for additional information. John Hancock reserves the right to discontinue or modify this additional comp at any time.
2. Date is based upon policy issue date.
3. Registration is defined by creation of login credentials and agreeing to the Vitality Terms & Conditions. Registration bonus will only be paid if a customer is registered in the first program year, or if registered on a previous Vitality PLUS policy.
4. Except as otherwise provided in any product-specific documentation applicable to a particular product or rider, there will be a chargeback of amounts paid, to include the Vitality bonus (5 or 10 points) on any policy which has lapsed, surrendered or if the Vitality (HER) rider is terminated within a 12 to 24 month period, dependent on specific product chargeback provisions. Please refer to individual comp schedules for details. 

Protection UL & Protection SUL Crediting Rate Changes, Effective March 1, 2023

Effective March 1, 2023, John Hancock's crediting rate on Protection UL and Protection SUL policies will increase by another 10 basis points — resulting in a 60-basis-point increase within a twelve-month period:

• John Hancock USA: from 4.85% to 4.95%
• John Hancock NY: from 4.60% to 4.70%

Product and Pricing Changes Effective February 13, 2023

Effective Feb. 13, 2023, Lincoln is announcing pricing updates on the following products:

Lincoln VULONE (2021) - 2/13/23

• 10% increase to single pay designs
• 10% increase to 10 pay designs
• No change to level pay designs

Lincoln SVULONE (2021) - 2/13/23

• The Lincoln SVULONE (2021) – 02/13/23 will replace Lincoln SVULONE (2021) – 07/11/22 in all states that are approved at rollout
• 12% increase to single pay designs
• 12% increase to 10 pay designs
• 5% increase to level pay designs
• Premium Load changes: Current = Guaranteed: 10% in years 1-20; 6% in years 21+

Lincoln WealthPreserve® 2 IUL (2020) – 02/13/23

• Reduced premium loads above threshold to match premium loads below threshold to improve competitiveness on single/short pays designs (current charge only)
• Target premium increase (approximately 5%)

Indexed Account Updates

• Increased S&P Traditional Account cap from 9.50% to 10.00%
• Increased Fidelity Fixed Bonus from 0.95% to 1.00%
• Lowered S&P Traditional Account floor from 0.25% to 0.00%

Lincoln WealthPreserve® 2 Survivorship IUL (2020) – 02/13/23

• Reduced premium loads above threshold to match premium loads below threshold to improve competitiveness on single/short pays designs (current charge only)

Indexed Account Updates

• Increased S&P Traditional Account cap from 9.50% to 10.00%
• Lowered S&P Traditional Account floor from 0.25% to 0.00%

Transition Guidelines

For states that are approved at rollout there is a 30-day transition period which begins on Feb. 13, 2023 and ends on March 15, 2023. Applications received on or after March 16, 2023, will receive the new product version.

Reminder: 15% Enhanced Target Premiums on Select New IUL and VUL Business, Now Available

Now you can receive 15% Enhanced Target Premiums on over-funded cases in select Nationwide IUL and VUL accumulation products. An additional 15% target premium will be paid on new business funded within the first 12 months of the policy at the lesser of 3 times the base target or the 7-pay premium. Available in Nationwide IUL Accumulator II 2020, and Nationwide VUL Accumulator.

Updates from New York Life

• The Premium Deposit Account (“PDA”) rate for February was maintained at 5.25%. Reminder that the rate is locked in at the time the policy is issued (not the date of the application). At the current rate the PDA saves approximately 2 premiums on a 10 pay whole life policy.
• The Premium Deposit Account is now available on the VUL Accumulator II product and the Market Wealth Plus product (see attachment)
• The AD119 current assumption UL and SUL have been repriced with lower premiums, effective Saturday 2/11/23 (see attachment). The new pricing is in the illustration software. The new pricing is not yet available in South Carolina.The product will be most competitive at the younger ages.  

Interest Rate Update - February 15, 2023

Effective February 15, 2023, OneAmerica has made the following interest rate changes.

SecureCare III Rates Decrease in FL Effective February 13, 2023

Effective February 13, 2023, rates for SecureCare™ III will be reduced by 25 percent across all case scenarios in Florida. SecureCare III is a long-term care (LTC) and nonparticipating whole life insurance policy.

Updates to Life Insurance Underwriting Guidelines

Allianz has made the following updates to its financial and affordability underwriting guidelines:

• Simplified affordability guidelines, allowing clients to leverage liquid assets in addition to earned income
• Increased earning factor for death benefit justification for younger ages
• Modified guidelines to allow for estate preservation design for estates valued under $5 million and the ability to grow estates out longer in some instances
• Revising pro-athlete guidelines with an emphasis on personal needs