ESI is pleased to announce that Securian SecureLink Chronic Illness Access has been approved and is now available.
SecureLink Chronic Illness Access is a fixed indexed annuity designed for clients seeking enhanced death benefit protection with the potential to access that benefit in the event of a qualifying chronic or terminal illness.
The product offers an enhanced death benefit that grows at an 8% annual compound roll-up rate, subject to contractual limitations, along with an automatically included Accelerated Death Benefit rider. This feature provides clients with the potential to access their enhanced death benefit during their lifetime if certain health conditions and eligibility requirements are met.
Accelerated Death Benefit Rider
The automatically included rider provides access to the enhanced death benefit following a qualifying chronic or terminal illness, subject to contract provisions.
- Chronic Illness: Inability to perform at least two of six Activities of Daily Living (ADLs) for a minimum of 90 days or severe cognitive impairment.
- Terminal Illness: Physician-certified life expectancy of 12 months or less.
- Waiting Period: A one-year contract anniversary waiting period and a 90-day elimination period apply.
- Rider Charge: An annual charge of 0.75% or 1.15%, depending on issue age, calculated against the Death Benefit value and deducted from Contract Value.
Suitability Considerations
When recommending Securian SecureLink Chronic Illness Access, financial professionals should consider the following:
Client Objectives
This product is intended for clients seeking enhanced death benefit protection and potential access to that benefit following a qualifying chronic or terminal illness. It is not intended to be primarily a growth product.
8% Death Benefit Roll-up
The 8% roll-up applies to the death benefit calculation and is not a guaranteed investment return or an amount available for ordinary withdrawals. The enhanced benefit is subject to contractual limitations regarding accumulation maximums and client access.
Rider Charges
The automatically included Accelerated Death Benefit rider carries an annual charge of 0.75% or 1.15%, based on issue age. The charge is calculated against the Death Benefit value and deducted from Contract Value, which may decline as a result.
If the Death Benefit exceeds the Contract Value, the effective annual charge as a percentage of Contract Value will be greater than the stated 0.75% or 1.15%.
Chronic Illness Qualification
SecureLink Chronic Illness Access is not long-term care insurance. Access to the enhanced Death Benefit requires specific health qualifications, certification, and satisfaction of applicable waiting and elimination periods. Initial purchase eligibility requirements also apply.
Liquidity Considerations
The contract has a seven-year surrender-charge period and may be subject to a Market Value Adjustment. Clients should maintain sufficient liquid assets outside the annuity for anticipated financial needs and generally should not require these funds for income needs outside of a qualifying health event.
Exchanges and Replacements
When considering an exchange or replacement, representatives must evaluate existing contract benefits, surrender charges, new restrictions, and the advantages and disadvantages of replacing the existing contract.
Suitability Documentation Requirements
New business documentation should clearly explain:
- The client’s specific need for the enhanced death benefit and chronic or terminal illness provisions.
- The rationale for recommending this product over other available annuity solutions.
- Confirmation that the client understands the rider charges, including their potential impact on Contract Value.
- Confirmation that the client understands the limitations, eligibility requirements, and conditions for accessing the enhanced Death Benefit.
- The client’s liquidity needs and ability to maintain the contract through the surrender-charge period.
Looking for the Right Fit?
Interested in learning where Securian SecureLink Chronic Illness Access may fit within your business or client strategies?
Contact the ESI Product Team or TruChoice, ESI’s designated outside FIA IMO, to discuss product positioning, sales concepts, and client opportunities.
Product Team:
Dan Randall: 802-229-7166
Jared Vachon: 469-851-9468
TruChoice:
Michael Bacchus: 800-237-0263 ext. 62047
Need Suitability Assistance?
Suitability & Case Preview
800-344-7437 (Press 2 → 5 → 2)
ESIDBCasePreview@nationallife.com
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