Pacific Life: Reprice & Enhancements to PL Promise GUL & PL Promise Conversion UL

03-27-2023

PL Promise GUL¹ and PL Promise Conversion UL² have been repriced³ and now offer the following enhancements beginning March 27, 2023.

Enhancements:

• Greater commissionable target premiums (now in top 3 among competitors⁴ )
• Higher return of premium feature (for policies over $250K face amounts) ⁵
• Larger PL Promise GUL maximum face amount (to $20M to age 71⁶ )

 

Get to Know the PL Promise Difference

	PL Promise GUL No-lapse guarantee universal life (GUL) insurance	PL Promise Conversion UL Universal life insurance with no-lapse guarantee available upon conversion from PL Promise Term7
Higher Commissionable Target Premium	Increased 32% on average8 —in top 34	Increased 13% on average8
Sweet Spots	Single-pay pricing is # 1 for age-90 no-lapse guarantee solves and top 3 for age-100 and lifetime nolapse guarantee solves Level-pay pricing is top 2 for age90 no-lapse guarantee solves Lower face amounts ($25K to $100K)	Competitive premiums, even against newly issued no-lapse guarantee (NLG) policies Lower premiums for early and midconversions
Competitive Features	Maximum face amount increased for broader appeal (to $20M to age 716 ) Low minimum face amount ($25K)	Guaranteed conversion from PL Promise Term with no new underwriting Up to 150% of standard compensation for early conversions

 

Higher Return of Premium Feature

Additionally, Pacific Life has improved the return of premium feature for both products by further enhancing the no-cost Enhanced Surrender Value Rider (ESVR)5 for higher face amounts ($250K+) for all ages. The policy may be surrendered within 60 days of certain policy anniversaries for the enhanced surrender values below:

Issue Age	ESVR Exercise Policy Anniversary	Return of Premium % for Face Amounts $50K to <$250K	Return of Premium % for $250K+ Face Amount	Maximum Return of Premium Feature
0-29	25 35	35% 50%	75% 100%	Not to exceed 40% of the policy’s death benefit
30+	15 20 25	50% 75% 100%	75% 100% 100%	Not to exceed 40% of the policy’s death benefit

 

The return of premium feature is not available on face amounts under $50,000. This feature is included at no additional charge in policies with death benefits of $50,000+ and no-lapse guarantees to at least age 100 (or 30 years for issue ages 70 and above).

Transition Guidelines

Pacific Life is providing a 60-day transition period. Cases issued through 5/25/23 automatically receive the better of the old and new rates. No request is necessary. Cases issued after the 5/25/23 cutoff date will receive the new rates.

State Availability

These enhancements and reprice will not be available in South Carolina until 4/17/2023. Until then, the current products and rates will continue to be available. The 60-day transition period for South Carolina begins on 4/17/2023.

Additionally, these enhancements and reprice will not be available in Washington D.C., pending state approval. Meanwhile, the current products and rates will continue to be available

 

 

¹ PL Promise GUL. Form Series P18PRUL, S18PRUL, varies based on state of policy issue.

² PL Promise Conversion UL. Form Series P17LYCUL, based on state of policy issue.

³ Rates may increase or decrease with the reprice—talk to your Pacific Life representative for details or request a personalized quote.

⁴ Competitive positioning as of 11/7/2022 LifeTrends among the following products: American General Secure Lifetime GUL 3 (15442), American General Value+ Protector II IUL (16760N), American National Signature Guaranteed UL (SGUL18), American National Signature Protection IUL (GIUL21), MassMutual Universal Life Guard (ULG-2018), Nationwide Indexed UL Protector II 2020 (ICC 18-NWLA-543), Nationwide No-Lapse Guarantee UL II (ICC18-NWLA-570), Nationwide No-Lapse GUL II w/ ESVR (ICC18-NWLA-570), North American Custom Guarantee (LS-185), North American Protection Builder IUL (LS186), Penn Mutual Guaranteed Protection UL (ICC18-PI-FL), Penn Mutual Protection Universal Life (ICC19-PI-CUL), Protective Advantage Choice UL 9-21 (UL-21), Protective Lifetime Assurance UL (UL22 1-13), Prudential Founders Plus UL (ICC20-IULPR), Securian Financial Eclipse Protector II IUL (19-20204), Symetra Protector IUL 3.0 (ICC18_LC2) and PL Promise GUL.

⁵ Referred to as the Enhanced Surrender Value Rider in the contract (Form R17LYESV, varies based on state of policy issue). Minimum premium requirements apply for the rider to provide a benefit. Loans and withdrawals may reduce refund amounts.

⁶ Up to age 71 through Table H.

⁷ PL Promise Term. Form Series P16LYT and S16LYT10, S16LYT15, S16LYT20, S16LYT25, or S16LYT30, varies based on level premium period chosen and state of policy issue.

⁸ Created by Pacific Life Insurance Company data as of 11/7/2022.

⁹ Competitive positioning as of 2/17/2023 LifeTrends among the following products: American National Signature Guaranteed UL (SGUL18), Corebridge Secure Lifetime GUL 3 (ICC15-15442), Nationwide No Lapse Guarantee UL II (ICC18-NWLA-570), North American Custom Guarantee (LS-185), Pacific Life PL Promise GUL, Protective Lifetime Assurance UL (ICC12-UL22 1-13), Prudential Founders Plus UL (ICC20-IULPR).