Lincoln Financial introduces the innovative new Benefit Transfer Rider available with MoneyGuard Fixed AdvantageSM
Lincoln Financial Group (NYSE: LNC) today launched the next generation of Lincoln MoneyGuard® by introducing MoneyGuard Fixed AdvantageSM, a universal life insurance policy with a long-term care rider. The MoneyGuard solutions suite helps address the concerns of 87% of Americans surveyed who say that having a long-term care solution would help them feel more confident about their financial future1.
“The MoneyGuard suite of solutions provides optionality so our customers have the freedom to select what works best for their individual needs and circumstances,” said Heather Deichler, senior vice president, MoneyGuard Business Management. “Long-term care planning is more than having enough money to pay for care services. It’s about building a comprehensive strategy to better prepare for the emotional and financial decisions that come with a long-term care event. MoneyGuard Fixed AdvantageSM gives clients more control over decisions affecting them and their families.”
MoneyGuard Fixed AdvantageSM preserves the core design features of the current MoneyGuard Universal Life product and introduces the new Benefit Transfer Rider (BTR), automatically included at no additional cost. This innovative rider provides an opportunity for a beneficiary to enhance their existing policy’s long-term care and death benefits by leveraging death claim proceeds from another person’s policy. The increase in long-term care and death benefits will always be greater than the amount being transferred to the policy.
To use the Benefit Transfer Rider, the insured and beneficiary must both be policyholders with BTRs on both policies3 and the beneficiary is the insured on their own policy. If qualifications are met, beneficiaries can choose to:
- take the full death benefit income tax-free2 or
- use the full death benefit to purchase more benefits on their own policy or
- take a partial death benefit income tax-free and use the remainder to purchase more benefits on their own policy2
There is no additional underwriting needed to transfer benefits and policy charges do not increase if benefits are enhanced through the rider. This rider can be used through age 121.
The rider goes beyond married couples and can be used with couples, siblings, parents, estate planning or anyone named as a beneficiary to help start important conversations about planning for long-term care expenses. These conversations are critically important — 82% of consumers surveyed say they wish they talked more about long-term care plans and options before they’re needed1.
Additionally, the Flexible Care Cash benefits will be extended to seven days a week (previously five) providing clients greater flexibility and access to cash for informal care needs. Flexible Care Cash provides access to cash benefit for care needs and allows for 50% of the maximum daily benefit to be used per occurrence (up to the IRS per diem limit). The cash benefit is payable without receipts and care may be provided by family members, including spouses. For days when formal care is used, reimbursement up to 100% of daily benefit is available.
“Long-term care events happen to loved ones, not just one person. We want to help Americans take control and protect their legacy with the flexibility to plan for their unique circumstances,” said Bill Nash, senior vice president, MoneyGuard Distribution. “As a leader in the hybrid long-term care marketplace, with more than 30 years of experience in providing long-term care solutions, Lincoln has remained committed to providing innovative solutions to meet the evolving needs of our customers.”
Lincoln is committed to investing in innovative product solutions and data, tools and technologies that enhance the customer experience. Other recent examples of innovation include the launch of MoneyGuard Market Advantage™, an enhanced digital claims experience and the Lincoln Concierge Care Coordination platform aimed at guiding customers and their families in how to plan for the impacts of a long-term event.
- VerstaResearch, “2020 LTC Marketing and Thought Leadership Research, Findings from Surveys of Advisors and Consumers,” August 2020. http://visit.lfg.com/MG-VRST-PPT001
- Beneficiaries may receive an income tax-free death benefit under IRC Section 101(a)(1).
- Both policies do not need to be opened at the same time.
About Lincoln Financial Group
Lincoln Financial Group provides advice and solutions that help people take charge of their financial lives with confidence and optimism. Today, approximately 16 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, and guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $308 billion in end-of-period account values as of March 31, 2022. Lincoln Financial Group is a committed corporate citizen included on major sustainability indices including the Dow Jones Sustainability Index North America and FTSE4Good and ranks among Newsweek’s Most Responsible Companies. Dedicated to diversity, equity and inclusion, we are included on transparency benchmarking tools such as the Corporate Equality Index, the Disability Equality Index and the Bloomberg Gender-Equality Index. Committed to providing our employees with flexible work arrangements, we were named to FlexJobs’ list of the Top 100 Companies to Watch for Remote Jobs in 2022. With a long and rich legacy of acting ethically, telling the truth and speaking up for what is right, Lincoln was recognized as one of Ethisphere’s 2022 World’s Most Ethical Companies®. Learn more at: www.LincolnFinancial.com. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.
MoneyGuard Fixed AdvantageSM is issued by The Lincoln National Life Insurance Company, Fort Wayne, IN on Policy Form ICC19-MG890/19-MG890, with a Long-Term Care Benefits Rider (LTCBR) on Rider Form ICC19LTCBR-890/LTCBR-890 and a Value Protection Endorsement on Form ICC19END-10534/END-10534, Living Well Endorsement on Form ICC18END-7058/END-7058, and Flexible Care Cash Amendment on Form ICC21AMD-7097/AMD-7097.
The insurance policy and riders have limitations, exclusions and reductions; and are subject to medical underwriting. Long-term care benefit riders may not cover all costs associated with long-term care costs incurred by the insured during the coverage period. All contract provisions, including limitations and exclusions, should be carefully reviewed by the owner. For costs and complete coverage details, contact your agent or producer. A version of Lincoln Concierge Care Coordination is guaranteed for Lincoln MoneyGuard® solutions policyowners. However, the tools, resources and services may change or evolve over time.
All guarantees and benefits of the insurance policy are subject to the claims-paying ability of the issuing insurance company. They are not backed by the broker-dealer and/or insurance agency selling the policy, or any affiliates of those entities other than the issuing company affiliates, and none makes any representations or guarantees regarding the claims-paying ability of the issuer.
When you contact our claims department to file a claim, we will request an assessment to be performed by a licensed health care practitioner to determine your benefit eligibility. If we provide the assessor, it will be provided at our expense. We may also choose to accept the assessment of your licensed health care practitioner. To be eligible for benefits, the licensed health care practitioner who performs the assessment must certify that you are chronically ill and unable to perform at least two activities of daily living (bathing, continence, dressing, eating, toileting, and transferring) for at least 90 days. You are also considered chronically ill if you require substantial supervision to protect you from threats to health and safety caused by severe cognitive impairment. Recertification of your benefit eligibility is required at least annually
The purpose of this communication is the solicitation of insurance. A licensed insurance agent or the company may contact you.
MoneyGuard Fixed Advantage is not available in all states; check state availability. The Lincoln National Life Insurance Company does not issue products in New York.