Guaranteed lifetime income is increasingly important for retirees in a post-pension world. But the primary vehicle for guaranteed benefits — annuities — can be a hard sell for many investors. Enter Stand-Alone Living Benefits, which offer a guaranteed stream of income without purchasing a traditional annuity. The product acts like an insurance policy on an investment account, with income benefits kicking in if the account is depleted during the insured’s lifetime. The product is sometimes referred to as a “hybrid annuity” product, although it is not an annuity in the traditional sense. SALB was developed as a way for fee-only and fee-based asset managers to offer clients guaranteed income benefits without selling an annuity, but limitations do exist. Carriers offering the product allow asset management exclusively through a partner organization, and trading in an account covered by SALB can be severely restricted.
For indexed universal life buyers, chronic illness riders are more popular.
Most of the rest of the country looks good. But what happened to Idaho?
Sun Life Financial, CUNA Mutual and NorthStar Life also have announcements.
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