Newport Beach, CA. (April 6, 2006) – In response to the desire of variable life insurance buyers for long-term performance and protection from potential stock market volatility, Pacific Life Insurance Company recently introduced three new riders. These innovative riders are now available with the company’s popular single life variable universal life insurance products.1
The-Minimum Earnings Benefit rider-MEB (form #R06MEB) and the Guaranteed Minimum Distribution rider – GMD (form #R06GMD) provide new choices and benefits to buyers who are attracted to the upside potential of variable universal life but want protection from prolonged downturns in the market. The Long Term Performance rider – LTP (form #R06LTP) maximizes the potential long term cash value accumulation of a client’s variable universal life insurance policy.
Alyce Peterson, vice president, marketing services for the Life Insurance Division of Pacific Life, explained that the MEB and GMD riders address the concerns of clients who want life insurance death benefit and the upside potential of the equities market yet are concerned about potential downsides in the long-term. “These riders provide unique guarantees that can limit downside when accumulating cash value in a policy or when taking policy loans and withdrawals from the cash value,”2 she commented.
Designed for clients with the long-term strategy of over funding a variable life policy to shorten the premium-paying years or to supplement retirement income, the Long Term Performance rider can increase a policy’s long-term cash value.
Peterson explained that a life insurance policy with LTP will have higher accumulated value and lower cash surrender value in the first 10 years than the same policy without LTP. “As long as the policyowner holds onto the policy for 10 years or more and pays the minimum premium required, they will accumulate higher policy cash values with LTP,” continued Peterson.
All three riders have costs, limitations and other requirements that must be met in order to be effective. For additional detailed information about these riders refer to the prospectus available on this Web site.
Founded in 1868, Pacific Life provides life insurance products, individual annuities, mutual funds, group employee benefits, and offers to individuals, businesses, and pension plans a variety of investment products and services. A FORTUNE 500® company, Pacific Life counts more than half of the 100 largest U.S. companies as clients3 and is a member of IMSA (Insurance Marketplace Standards Association), whose membership promotes ethical market conduct for individual life insurance and annuities.
1 Riders available only with new sales on Policy Form Nos. P04SE2, P04MVP
2 Withdrawals and policy loans will reduce policy values and may reduce death benefit.
3 Data compiled by Pacific Life using the FORTUNE 500 ® list, as of April 2005
Pacific Life Insurance Company is licensed to issue individual life insurance and annuity products in all states except New York. Product availability and features may vary by state. Variable life insurance and annuity products issued by Pacific Life and shares of the Pacific Select Fund are distributed by Pacific Select Distributors, Inc. (member NASD & SIPC), a subsidiary of Pacific Life, and are available through licensed third party broker dealers.
Investors should carefully consider the underlying fund investment objectives, risks, charges and limitations and expenses of a variable universal life insurance policy and an annuity contract. This and other information about Pacific Life is in prospectuses available from your registered representative or by calling (800) 800-7681. Read the prospectus carefully before investing or sending money.
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