Transamerica Occidental Life Insurance Company has built new longevity assumptions into a new family of universal life insurance policies.[@@]
Transamerica, Los Angeles, says pricing for the new TransACE SP, TransACE LP, TransUltra SP, TransUltra LP and TransUltra Plus policies will rely on the data in the new 2001 Commissioners’ Standard Ordinary Mortality Tables.
The 2001 tables predict that the typical life insurance policyholders will live longer than policyholders did back when actuaries developed the last widely used mortality tables, the 1980 CSO Mortality Tables.
The policies that include “SP” in their names are single-premium policies, and the policies with “LP” in their names are designed for consumers who want to make a series of level-premium payments, Transamerica says.
Thanks to the use of the 2001 CSO Mortality Tables, prices for level-premium UL policies will be relatively low for customers ages 35 to 55, Transamerica says.
The TransACE SP and LP policies are designed for customers who want no-lapse death benefit guarantees. Those policies will pay interest of at least 4%.
The TransUltra policies are designed for customers who want current assumption products, and the TransUltra Plus policy is designed for customers who are particularly interested in “return of premium” or “return of accumulation value” death benefit options.
The minimum guaranteed interest rate on the TransUltra products is 3%.
Transamerica is a unit of AEGON N.V., The Hague, Netherlands.