A large insurer is introducing a universal life policy feature aimed at wealthy individuals and businesses that are considering premium finance arrangements.

AXA Equitable Life Insurance Company, New York, a unit of AXA S.A., Paris, says it has introduced a Cash Value Plus Rider for its Athena Universal Life Death Benefit product.

The rider can help purchasers avoid obtaining letters of credit or tying up assets to use as collateral in life insurance financing arrangements, AXA Equitable says.

Rider purchasers can get up to about 95% of required collateral with the policy alone, the company says.

The policies with the rider have higher early cash surrender values than comparable policies that are surrendered without use of the rider.

For a one-time charge of $250, the rider can reduce surrender charges the first 8 policy years.

The rider also helps by refunding a portion of the cumulative premium charges deducted during the first 3 policy years.

Purchasers must buy the rider when the underlying UL policy is issued. The minimum death amount is $1 million, and the minimum annualized premium is $50,000.

Issue age limits vary by underwriting class.