John Hancock released the Accumulation IUL 21 on Monday, May 24th, replacing the 2020 version of the product. Primarily, this reprice transitions the offering into compliance with the updates to IRC section 7702 and makes some adjustments to target premiums to help buffer them somewhat from dropping as heavily as the levels found on initial death benefits. The help on targets is found in the new Enhanced Target Premium feature and applies “if premium paid in first year exceeds 3x the basic commissionable premium, then the target commissionable premium will be increased by 20%.” Most accumulation scenarios in the benchmarks are helped by this feature. Other adjustments are in line with regulation expectation as distributions increase and initial death benefits see substantial decreases.
Also released is the new Base Capped Two Year Index.
Rates were made available on the LifeTrends website on Monday, May 24th.