Lincoln Financial Product Overview: Lincoln AssetEdge® VUL (2015)

On Monday, June 15 th, Lincoln Financial released the latest version of AssetEdge VUL, now referred to as their 2015 version, replacing their 2009 version. While it competes in some areas of the death benefit protection market, it is primarily designed for income distribution/cash accumulation and is a leader within the variable universal life product market.

Prior to the revision, 2009 competed well and held top 3 ranking for a majority of the maximum distribution solves. The 2015 version further enhances its competitive positioning. When assuming both a 6% and 8% gross assumed interest rate, AssetEdge VUL 2015 ranks at or near the top for a majority of scenarios. When taking distributions, cash values are negligibly higher, showing that the improved distributions are explained by lower target premiums and an improved persistency bonus.

When looking at endowment solves rates generally increased, although there were some clear improvements for male insureds. The limited improvements in premiums are offset by drastic decreases in cash surrender values in year 20, which average about a 15% drop. Higher administrative charges in the early policy years account for the lower accumulation amounts. Targets held steady under the level death benefit solve.

Rates were updated on the LifeTrends website on Tuesday, June 16 th.