RADNOR, Pa., January 24, 2022 - Lincoln Financial Group launched the next generation of Lincoln AssetEdge, an accumulation-focused Variable Universal Life (VUL) insurance policy offering significant tax-advantaged cash value growth and income potential and a cost-effective death benefit. As industry sales of accumulation VUL policies continue to surge, increasing three-fold in the third quarter of 2021, AssetEdge (2022) offers market-driven investment options that can be tailored to a client’s financial objectives and risk tolerance, and policy features that empower individuals, families and businesses to plan for the unexpected.
“With the strength of the equity markets in recent years, clients are showing increased interest in accumulation VUL policies like AssetEdge to diversify their financial portfolio in a tax-advantaged manner,” said Andy Bucklee, senior vice president and head of Life and Executive Benefits Distribution for Lincoln. “AssetEdge provides the flexibility to participate in the market and access cash value to supplement income, while protecting your loved ones and life priorities.”
New Growth Opportunities
Clients have an opportunity to improve their policy growth potential with the Enhanced Allocation Rider, which can be added to the policy at issue for no additional premium. With the Enhanced Allocation Rider, a portion of the policy’s cash value is allocated to purchase options on the S&P. Any additional growth increases both the policy value and death benefit protection, which can be accessed or passed on to beneficiaries.
AssetEdge is now also available with an Individual Exec Enhanced Surrender Value Rider, designed for those looking for a tax-balanced option that can drive down the overall tax impact and provide the flexibility to access the full policy value with no surrender charge.
New Investment Options
AssetEdge includes a wide range of investment options that can be tailored to a client’s goals for return potential and downside protection. In addition to more than 75 market-driven variable investment options, two indexed accounts tied to the performance of the S&P 500 Index, multiple managed risk funds and a fixed account, AssetEdge now features two Fidelity AIM® Dividend Index account options. The Fidelity accounts employ a dynamic allocation approach that blends the characteristics of high-dividend stocks with the safety of U.S. Treasuries to help deliver a steadier investment experience over time.
Clients can allocate investments across multiple options and adjust the allocations over time to align with changing needs, financial goals or market conditions.
“With the latest version of AssetEdge, we’ve enhanced its overall value proposition, making it an attractive portfolio option to not only address a client’s growth and distribution needs, but also their protection needs,” said Stafford Thompson, Jr., senior vice president of Life and Executive Benefits Business Management at Lincoln. “Between AssetEdge and our protection-focused VULONEproducts, Lincoln offers clients interested in market participation a breadth of variable options to meet planning needs ranging from retirement income to lifetime guaranteed death benefit protection.”
To learn more about Lincoln AssetEdge (2022), click here. For additional insights on how variable universal life insurance can fit into a retirement portfolio, view this article from Wade D. Pfau, Ph.D., CFA, RICP®, founder of Retirement Researcher and professor of Retirement Income at The American College of Financial Services.