Newport Beach, CA. (November 15, 2005) – Pacific Life & Annuity’s new Pacific Indexed Accumulator-NY (policy form #P05PIA-NY) adds a universal life insurance policy with an equity indexed feature to the company’s New York product offerings. Featuring credited interest based in part on the positive performance of the S&P 500® Index 1(excluding dividends), Pacific Indexed Accumulator-NY (PIA-NY) combines higher crediting rate potential without direct participation in the equities market.
“In today’s interest and market environment, Pacific Indexed Accumulator-NY appeals to clients who want the potential of earning higher interest in their policy cash values but want to limit the impact of negative returns to 0%,” commented Alyce Peterson, a Pacific Life & Annuity officer. “It has the affect of ‘smoothing the waves’ of volatility. Adding equity indexed universal life to our product line provides one more choice from a quality carrier.”
Equity index universal life insurance (EIUL) is a traditional universal life insurance policy offering an index feature. Policy cash value can be transferred from a fixed account that offers traditional fixed interest rates, to an indexed account. The indexed account uses an outside index like the S & P 500® in the calculation of interest credits. While the impact of negative index returns is limited by a growth floor (typically 0%), the maximum interest crediting rate for an EIUL policy is limited by a growth cap. As a universal life insurance product, EIUL offers death benefits, flexible premiums, and tax deferred accumulation of cash value.
Key features of PIA-NY include:
- Crediting rates that are based in part on the positive performance of the S&P 500® (excluding dividends)
- Crediting rates that never fall below 0% in any given year when the S&P 500® posts negative returns with the assurance of a five-year cumulative guaranteed rate of 2% per year.
- Conventional Fixed Account
- Three Death Benefit Options
- Short-Term No Lapse Guarantee Rider
- No Policy Maturity Date
According to Peterson, PIA-NY can be used for family financial protection, as well as retirement, estate and business planning.
Pacific Life & Annuity Company offers a wide range of products, including life insurance, annuities, structured settlement annuities, and other investment products and services for individuals and businesses. Pacific Life & Annuity is a member of the Insurance Marketplace Standards Association (IMSA), whose membership promotes high ethical standards for the sale of individual life insurance and annuities.
Pacific Life & Annuity Company’s life insurance and annuity products can be solicited in those states where the product has been approved. Product availability and features vary by state.
1 The S&P 500 (Standard & Poor's Composite Stock Price Index) is composed of 500 common stocks representing major U.S. industry sectors. If the S&P 500 is discontinued or if we are unable to use it for reasons beyond our control, we will substitute a successor index of our choosing (subject to the approval of the state insurance authorities).
"Standard & Poor's®," “S&P®,”"S&P 500®," "Standard & Poor's 500," and "500" are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by Pacific Life & Annuity Company. The Product is not sponsored, endorsed, sold or promoted by Standard & Poor's and Standard & Poor's makes no representation regarding the advisability of purchasing the Product.
Non-guaranteed elements are not guaranteed by definition. As such, Pacific Life & Annuity reserves the right to change or modify any non-guaranteed element. This right to change non-guaranteed elements is not limited to a specific time or reason.