Prudential Announces Multiple Product Changes

FROM PRUDENTIAL...

On January 16, 2024, our industry-leading VUL accumulation product, Custom Premier II, will be upgraded with several new enhancements, including:

• Expanded variable fund line-up to ensure that we continue to offer the robust number of fund choices that we have had historically¹

• Improved target premiums with an average increase of 14% for policies with Death Benefit Option B

• Adjusted surrender charges (only effects cash surrender values in years 1 through 10)

• The availability of the Premium Deposit Account

• BAR Concierge Care Services will now be available in more states through the addition of the Other Goods and Services Rider

• Enhanced illustration functionality that allows selected percentages above the minimum non-MEC solves, supporting higher Death Benefit with potentially low impact to cash accumulation

  
  In addition, you’ll see improved target premiums and an enhanced illustration function that may increase the client’s death benefit with minimal impact to cash accumulation.
  
  Note: Effective Tuesday, January 16, 2024, multiple forms will be introduced to support the Pru Custom Premier II revisions. The forms include Premium Deposit Account Agreement form (ORD 155304), and North Dakota and Delaware will move to the Interstate Compact version of the Accelerated Death Benefit Disclosure (BenefitAccess Rider) (ORD114462-2018_BARDisclosure-ICC). The forms are currently available on the PruXpress website. The forms will be available for iGo eApp on Wednesday, January 17, 2024.

Founders Plus & FlexGuard Life Changes

Effective January 15, 2024, there will be some changes to Founders Plus and FlexGuard Life.

Overall higher hedging costs associated with capped accounts caused decreases, while uncapped accounts had lower hedge costs and were improved (spreads reduced). These changes will be effective for index segments starting January 15, 2024.

A letter will be sent to policy owners when there are changes to index accounts, informing them of the new caps, rates and spreads, and that the future segments will be impacted. The letter also indicates that these changes may result in different values than were shown in their most recent illustration and how they can request a current illustration.

Click to view the updated FlexGuard Life rate card and buffered index strategies flyer.