new products | life insurance Now Available: A Flexible Linked-Benefit Life Insurance and LTC Product

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New York Life has rolled out New York Life Asset Flex, a new way for consumers to plan for their financial needs later in life while protecting their retirement savings. Asset Flex is a universal life insurance policy that allows acceleration of life insurance for long-term-care services as well as an additional pool of LTC benefits, plus a money-back guarantee.1

A single premium Asset Flex buyer who is 60 years old—a typical age for buyers—will have immediate access to long-term care benefits worth close to five times the premium used to fund the policy, and to life insurance benefits worth more than one and a half times the premium used to fund the policy. Buyers older than sixty will receive slightly less benefits for the same premium while younger buyers will receive slightly more benefits for the same premium.

Here’s one example of how Asset Flex works2: A buyer pays $100,000 to purchase Asset Flex. In return, the insured has access to up to $461,695 for covered long-term care services and/or $153,898 in life insurance protection. This coverage pays for long-term care in case the insured needs qualified care, the life insurance benefit if they don’t, or both if they need a limited amount of care. Even if all of the benefits are eventually used for long-term care expenses, the insured’s beneficiaries still receive ten percent of the original life insurance benefit when the insured passes.

“Providing so much value in one product is what we are most excited about with the launch of Asset Flex. Not only does this product offer valuable long-term care coverage, it also provides important life insurance protection that guarantees the policy owner will receive meaningful benefits for the assets they repositioned. It helps them prepare for the future and removes some of the financial concerns that come with aging, while they retain access to their premium if needed,” said Mohammad T. Reza, Corporate Vice President, New York Life.

Asset Flex also offers:

• Flexible payment options – one-time premium, or policy owner can elect to pay an annual premium over 5 or 10 years

• Premium as low as $10,000

• Immediate access to long-term care and life insurance policy benefits at issue even if the policy owner elects to pay premium over time

Full suite of long-term care insurance benefits from home care to nursing facilities

• Money back guarantee, with the possibility of accumulating interest over time

• Tax advantages – client’s cash accumulates interest which is tax deferred, and any death benefit and/or long term care benefits paid from the policy are generally tax free

1. Guarantee is available as long as no policy loans or partial surrenders have been made, no benefits have been used towards long-term care, and all planned premiums have been paid.

2. Hypothetical example based on 60-year-old married female, best risk class, six years of total LTC benefit duration, couples discount, $100,000 single premium with vested Return of Premium. The total pool of money available for paying the death benefit and long-term care benefit depends on the initial premium, age, gender, risk classification, and any policy loans or partial surrenders made from the cash value.