How to Help Your Clients and Build Your Business During Annuity Awareness Month

Josh VerHoeve

By: Josh VerHoeve, VP - Annuity & Life Insurance at Asset Marketing Systems

Written On: June 27th, 2024

June is Annuity Awareness Month and a great time to remind your clients of the annuities available to them and the annuities they already own. This is a fantastic time to do beneficiary and policy reviews and if you need an excuse to meet with your clients and prospects Annuity Awareness month is that excuse!

Common Annuity Mistakes:

The most common annuity mistakes that are made are very simple ones that can be corrected by doing policy reviews. Things to look out for are naming correct owner(s) and annuitants, naming primary and contingent beneficiaries correctly, but more importantly updating them as time goes on. It is too common we hear of a client passing away who owns an FIA who does not have their beneficiaries stated as wished, or has ownership titled in a way that creates other inefficiencies. These seem simple but as time goes on, client’s lives change and sometimes their insurance and annuity policies need to be changed. Use this time to do reviews – even a simple ten-minute meeting with your client base.

Wealth Transfer via Annuities:

When planning for wealth transfer for a client who may not be insurable, be sure to ask the annuity team about these product options. One of the best death benefit wealth transfer annuities on the market is the Athene BCA with Family Endowment Rider (FER/FER Max). This rider has a 12% premium bonus, 5% compounded return guaranteed to age 85, and reduces dollar for dollar on withdrawals up to 5%. The Athene BCA with FER offers a lump sum death benefit. Another option is the North American Secure Horizon Plus which offers a 20% bonus and 200% crediting rate to the death benefit base – available as a five-year death benefit. Better yet, the North American Secure Horizon Plus offers the benefit base as a seven-year payout if the client is unable to perform at least two out of six ADLs. One final product you must make your clients aware of is the EquiTrust Bridge. This product is not necessarily a death benefit-based option but if you believe your client will need LTC before passing away (we know that most will), then this is where you start. A guaranteed issue true tax qualified LTC FIA with a current 10% S&P cap and 5% fixed account.

Contact the Asset annuity product team to learn more about the above products and how you can use them as part of your clients next estate plan.

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