Products August 19, 2009

Phoenix Unveils Dual Life Insurance Product

The Phoenix Companies, Inc., introduced a “first-to-die” universal life insurance product that covers two lives under one policy, designed for married couples or business partners.

Reported by

Phoenix Joint Advantage Universal Life (UL) pays a death benefit on the first death, according to the Hartford, Connecticut-based insurer.  It targets business partners who want to protect the other partner’s interest for buyout purposes or couples who want cash after one partner dies.

Clients can also purchase a rider enabling the surviving spouse or partner to buy a new Phoenix policy at that time with no need for medical evidence of insurability, Phoenix said.

The firm said the product offers flexible premiums that allow clients to decide when and how much to pay and offering the option for partners to have different amount of coverage. Clients can also choose either a fixed death benefit equal to the policy’s face amount or an increasing death benefit that equals the policy’s face amount added to its cash value.

Phoenix offers others riders for purchase as well as two free, optional riders: Policy Exchange Option Rider, which allows an exchange of the joint policy for two single life policies without evidence of insurability, and Overloan Protection Rider, which intends to prevent policy lapse (a taxable event) if loan debt should exceed cash value due to a heavily loaned policy.

“For many clients, it’s a significantly cost-effective alternative to the expense of two standard UL policies,” said Tom Buckingham, senior vice president, Product Development, Life and Annuity at Phoenix.

For more information, financial advisers can contact their Phoenix wholesaler, the Life and Annuity Sales Desk at 800.417.4769, or visit www.phoenixwm.com.


Deals & People August 19, 2009

Lincoln Sells Asset Manager, Focuses on Retirement Business

Lincoln Financial Group said today it has agreed sell Delaware Investments to Sydney, Australia-based Macquarie Group.

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In a statement, Lincoln Financial (the marketing name for Lincoln National Corp.) said it signed a definitive stock purchase agreement to sell Philadelphia, Pennsylvania-based Delaware Investments (the marketing name for Delaware Management Holdings, Inc.) and its subsidiaries to Macquarie, a global provider of banking, financial, advisory, investment, and funds management services.

“We believe the greatest opportunities for growth and differentiation for Lincoln Financial going forward are centered on our principal insurance and retirement businesses,” said Dennis R. Glass, president and CEO at Lincoln Financial Group. “This transaction will allow us to focus both management and capital resources on these core businesses.”

The deal, expected to close December 31, cost Macquarie $428 million, which will help Lincoln pay back a portion of the $950 million it has accepted in federal funds, according to Bloomberg. In April, Lincoln said it was putting Delaware on the block (see “Reuters: Lincoln to Sell Delaware Asset Management Unit”).

Lincoln said it is committed to “providing access to high-quality asset management services” for retirement and insurance products through sub-advisory relationships, such as Delaware Investments.

Delaware Investments will continue managing Lincoln Financial general account insurance assets under a long-term contract, and will provide additional sub-advisory services, according to Lincoln. The firm also expects that, before the deal closes, its distribution team for Delaware Investments’ funds and separately managed accounts will move from its wholesale distribution arm, Lincoln Financial Distributors, Inc., to Delaware Investments.





       
 


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