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.