RICHMOND, Va., Jan. 7, 2014 /PRNewswire/ -- Genworth (NYSE: GNW) announced that it has introduced its second index universal life (UL) insurance product, Foundation Builder Index UL. The new product provides affordable death benefit protection backed by a no-lapse guarantee of up to 30 years, plus the opportunity to build cash value for future financial flexibility.
In addition to an affordable, generally income-tax free death benefit at competitive premiums, Foundation Builder Index UL offers:
"We are pleased to expand our portfolio of index universal life insurance products with a product that offers some of the most competitive premiums as well as an optional rider that can provide long term care coverage from the industry leader2," said Anthony Vossenberg, senior vice president, Distribution, at Genworth. "We designed this product and rider specifically for consumers who want affordable, long-term death benefit protection, upside growth potential without downside risk, and coverage for long term care expenses."
"With low-interest rates jeopardizing the performance expected from traditional fixed life insurance products, index UL insurance meets the needs of consumers who are seeking solid alternatives with limited risk," he said.
As a result of persistently low interest rates, index UL policies are experiencing record-breaking sales, growing from a $300 million market in 2006 to a $1.54 billion market in 2012.3 In 2013, index UL premium increased 10 percent in the third quarter and 18 percent for the first three quarters of the year. Index UL market share, during 2013, represented a record 35 percent of UL premium and 13 percent of total individual life insurance new annualized premium -- its highest level.4
Foundation Builder Index UL is Genworth's affordable death benefit index UL product. Its first, Asset Builder Index UL, is an accumulation-focused and protection product that features additional distribution options such as participating or collateral loans. For both products, all Guideline Premium Test policies also include the Overloan Protection Rider.
Industry-leading customer service and technology from Genworth
As part of its commitment to continually raise the bar on technology and customer service, Genworth's index UL products are the first and only index UL products in the industry available on a comprehensive front-to-back electronic platform that significantly shortens the application and fulfillment cycle time. The electronic platform encompasses illustrations, drop ticket, ticket fulfillment and ePolicy delivery on the end.
In December, Genworth was recognized by DALBAR as the sole 2013 winner of its annual Life & Long Term Care Insurance Service Awards.5 2013 was the third year in a row that Genworth was the sole winner of DALBAR's service award for life insurance.
Genworth's Innovative Education and SupportTo help financial professionals meet the soaring demand for index UL and ensure that they have the information and tools to help educate their clients about index products, including fixed index annuities, Genworth has launched The Index InstituteSM. This industry-first virtual resource offers financial professionals the education, tools and support they need to better counsel their clients on how index products work and the role they can play in helping them fulfill their insurance needs and financial goals.
Resources for Consumers from GenworthConsumers can learn about different types of life insurance and access calculators to help determine how much life insurance they may need by visiting Genworth's life insurance solutions website.
Genworth can also be found online through its social media platforms at: Facebook (https://www.facebook.com/#!/pages/Genworth/165752860178415)YouTube (http://www.youtube.com/user/GenworthFinancialTV).
Genworth's Index UL and other life insurance products are underwritten by Genworth Life and Annuity Insurance Company and Genworth Life Insurance Company, Richmond, VA. Products not available in all states and markets.
Genworth Financial, Inc. (GNW) is a leading Fortune 500 insurance holding company dedicated to helping people secure their financial lives, families and futures. Genworth has leadership positions in offerings that assist consumers in protecting themselves, investing for the future and planning for retirement — including life insurance, long term care insurance, and financial protection coverages — and mortgage insurance that helps consumers achieve home ownership while assisting lenders in managing their risk and capital.
Genworth operates through three divisions: U.S. Life Insurance, which includes life insurance, long term care insurance and fixed annuities; Global Mortgage Insurance, containing U.S. Mortgage Insurance and International Mortgage Insurance segments; and the Corporate and Other division, which includes the International Protection and Runoff segments. Products and services are offered through financial intermediaries, advisors, independent distributors and sales specialists. Genworth, headquartered in Richmond, Virginia, traces its roots back to 1871 and became a public company in 2004.
For additional information on the entire line of Genworth products, please see our website at: http://www.genworth.com.
The S&P 500 index is a product of S&P Dow Jones Indices LLC ("SPDJI") and has been licensed for use by Genworth Life and Annuity Insurance Company and Genworth Life Insurance Company hereinafter referred to as "Licensee". Standard & Poor's®, S&P®, and S&P 500® are registered trademarks of Standard & Poor's Financial Services LLC ("S&P") and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by Licensee. Licensee Index Universal Life Product(s) are not sponsored, endorsed, sold or promoted by SPDJI, S&P, or their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500 index.
Foundation Builder Index UL is a flexible-premium, adjustable life insurance policy (commonly known as universal life insurance) with optional index interest crediting. The product, riders, and benefits are subject to the terms and conditions of its policy forms and to state availability and issue limitations.
Genworth Life & Annuity: Policy Form No. ICC13GA1006, ICC13GA1007, GA1006-0413 et al., or GA1007-0413 et al. Rider Form Nos. ICC12GA108R or GA108R-1012 et al.; ICC12GA111R or GA111R-1012 et al.; ONE-ADB et al.; ONE-CIR-100 et al.; ONE-WP-TL et al. Genworth Life: Policy Form No. ICC13GL1006, ICC13GL1007, GL1006-0413 et al., or GL1007-0413 et al. Rider Form Nos.
ICC12GL108R or GL108R-1012 et al.; ICC12GL111R or GL111R-1012 et al.; GE-ONE-ADB et al.; GE-ONE-CIR-100 et al.; GE-ONE-WP-TL et al.
A death benefit is income tax-free (a) unless the policy has been transferred for a valuable consideration by assignment or otherwise, the basis for determining gain or loss in the hands of the transferee is determined in whole or part by reference to such basis in the hands of the transferor, and the transfer is to not to the insured, a partner of the insured, a partnership in which the insured is a partner, or a corporation in which the insured is a shareholder and/or officer and (b) in the case of a life insurance policy that is an employer-owned life insurance contract as that term is defined in section 101(j) of the Internal Revenue Code of 1986, as amended, if the requirements of section 101(j) with respect to such contracts are met.
Although the policy value may be affected by the performance of an index, the policy is not a security and does not directly or indirectly participate in any stock, equity or similar investment including, but not limited to, any dividend payments attributable to any such investment. The index does not include dividends paid on the underlying stocks, and therefore do not reflect the total return of the underlying stocks.
Policy, benefits and riders may not be available in all states. Terms and conditions may vary by state.
Refer to the policy for definitions and more details regarding coverage and its features. This press release provides a summary of coverage. Policy terms and provisions will prevail.
All guarantees are based on the claims-paying ability of the issuing insurance company.
1 LIMRA 2012 Individual Long Term Care Insurance Sales and In Force Survey2 LIMRA 2012 Individual Long Term Care Insurance Sales and In Force Survey3 LIMRA's U.S. Individual Life Insurance Sales Summary Report, Fourth Quarter 20124 LIMRA'S U.S. Individual Life Insurance Sales Summary Report, Third Quarter 2013 5 DALBAR news release, "Genworth Earns DALBAR Life & Long Term Care Insurance Service Awards," Dec. 10, 2013