LIFE UNIVERSAL. Guarantee Advantage Universal Life. protection. for life

Transcription

1 LIFE UNIVERSAL Guarantee Advantage Universal Life LIN BAN protection for life

2 Life. your way Strive to live your dream and plan for the if in life. Discover the flexibility of life insurance protect, accumulate SM Being able to protect your loved ones, even after death, is one reason so many people turn to life insurance. The comfort this assurance gives can be immeasurable. Life insurance provides a death benefit that can be used to help: Replace lost income for beneficiaries and transfer wealth now Pay for funeral and estate settlement costs and in the future. Be free to Provide for a child s college education live life, your way. Help transition a business

3 Which type of life Your financial professional can help you make the best decisions about your life insurance portfolio and what policy or policies may best suit your particular circumstances. insurance is right for you? If you re like most people, you probably feel you have a responsibility to protect those who depend on you. Even so, many Americans recognize that they don t have enough life insurance in place for their families. As a result, many people make the passive decision to do nothing leaving their families financial futures at risk. If you re unsure about how to make the best financial decisions for your family, MetLife can help. MetLife has developed an innovative process that can help you focus on your life s most important financial objectives. Your financial professional can walk you through the MetLife Life Insurance Selector SM a brief questionnaire that will help you and your financial professional decide on the most appropriate life insurance policy for your situation. 1

4 GUARANTEE ADVANTAGE UNIVERSAL LIFE Is guaranteed life insurance protection important to you? Guarantee Advantage Universal Life (UL) provides affordable, long-term, permanent life insurance protection with an optional death benefit guarantee provided by the Coverage Continuation Rider. It offers the flexibility to customize your coverage amount as well as your premium payments and potentially accumulate funds on a tax-deferred basis. Lifetime coverage, including options for guarantees. MetLife s Guarantee Advantage UL pays a death benefit as long as the policy remains in force with a positive cash surrender value. Include the optional Coverage Continuation Rider and the policy can provide a guaranteed death benefit for the duration you choose. Flexibility. Adjust the policy premium or death benefit as your needs and circumstances change. 1 The Coverage Continuation Rider also offers great flexibility in both premium payment and guarantee duration. At certain premium levels, with the Coverage Continuation Rider you can have lifetime coverage or choose to pay lower premiums and still enjoy a long-term guarantee of any length you choose. 2 A guarantee with the Coverage Continuation Rider can be paid up in any duration. Pay one year or all years, the flexibility is all yours. 3 If the Coverage Continuation Rider is not elected, the policy can accumulate additional funds and when properly structured, can offer tax-free access to the accumulated cash value through withdrawals and loans. 4 1 Within limits and with evidence of insurability. Changes to premium or death benefit will affect how long the policy remains in force. 2 Changing the CCR premium and the timing of the premium payments may result in a change in your guarantee duration. 3 Cost of the CCR will fluctuate greatly, depending on premium duration. 4 Tax-free distribution assumes that the life insurance policy is properly structured and not classified as a Modified Endowment Contract (MEC) under the Internal Revenue Code. Withdrawals are made up to the cost basis and policy loans thereafter. If the policy is a MEC, cash value is taxable upon withdrawal and if withdrawn before age 59½, a 10% federal income tax penalty may apply. If a policy should lapse or be surrendered prior to the death of the insured, there may be significant tax consequences. Loans and withdrawals will decrease the cash value and death benefit. 2

5 if GUARANTEE ADVANTAGE UL may be right for you: IF y ou want your family s financial stability secured with a death benefit guarantee that may be used to provide income to support their lifestyle. IF y ou would like to prepare your estate to pay for any applicable federal and state income taxes, estate taxes and other tax liabilities. IF y ou wish to preserve your interests through enhanced gifts to your favorite charities. IF y ou are looking for long-term insurance that can last a lifetime. IF y ou can reduce risk and help sustain your business by creating a source of income in the event of an untimely death of a key person. IF y ou want to fund a buy-sell agreement that will enable a partner or group of employees to buy out the business interest of a deceased partner or stockholder. IF y ou would like to recruit, retain and reward top executives by offering life insurance funded executive bonus plans. 3

6 Optional Riders 5 GUARANTEE ADVANTAGE UL can be further customized with optional riders that can provide additional protection for you or your family. Your financial professional can help determine if these optional benefits are right for you. If you re protecting your family or business The Coverage Continuation Rider (CCR) provides guaranteed death benefit coverage.6 The length of the guarantee can be for any duration, including lifetime, subject to rider conditions and limitations. Guaranteed Survivor Plus Purchase Option (GSPO+) allows a guaranteed purchase option in the future to buy permanent life insurance on up to five designated people (besides the base policy insured), without evidence of insurability at the time of exercise. The amount that can be purchased on the designated people is up to five times the amount of coverage on the base policy insured.7 Guaranteed Survivor Income Benefit (GSIB) is a settlement option that allows beneficiaries to receive death benefit proceeds in the form of enhanced monthly income in lieu of or in combination with a lump sum. If you get sick or hurt Waiver of Specified Premium (WSP) credits a specified amount of monthly benefit as premium to the policy for the period specified in the rider, should the insured become totally disabled. Accelerated Death Benefit Rider (ADBR) will provide all or a portion of the policy s death benefit for the policy owner s current use should the insured become terminally ill (with 12 months or less to live). The greater of $250,000 or 10% of eligible proceeds may be used. There is no cost for this rider until it is exercised. 5 vailability of riders may be limited or subject to satisfying certain conditions. All riders may not be available in conjunction with other riders. Not all riders are available in all states. Additional riders A may be made available from time-to-time. Your financial professional can review with you the available riders. There may be an additional charge for optional riders. 6 Guarantees are subject to product terms, exclusions and limitations, and the insurer s claims-paying ability and financial strength. 7 The minimum face amount for the GSPO+ rider is $100,000. 4

7 With GUARANTEE ADVANTAGE UL from MetLife, you can achieve your financial goals today and protect them for your loved ones tomorrow. It s a cost-effective planning tool that provides flexibility and can be designed to provide guaranteed death benefit protection. Ask your financial professional for more details about how Guarantee Advantage UL may fit into your financial strategy.

8 The policy s five-year no-lapse guarantee remains in force provided required premiums are paid and values are not taken out of the policy. If the guarantee terminates, the policy will stay in force for as long as its cash value is sufficient to pay for the policy s benefits. Paying additional premiums will increase the policy s cash value. The optional Coverage Continuation Rider (CCR) guarantees that the policy will remain in force even if the policy s cash surrender value is insufficient to pay monthly policy deductions, subject to certain conditions and limitations. If neither the five-year no-lapse monthly guarantee nor the CCR is in effect, then the policy will not lapse as long as net cash surrender value is sufficient to pay the monthly deductions when due. Pursuant to IRS Circular 230, MetLife is providing you with the following notification: The information contained in this document is not intended to (and cannot) be used by anyone to avoid IRS penalties. This document supports the promotion and marketing of insurance products. You should seek advice based on your particular circumstances from an independent tax advisor. MetLife, its agents and representatives may not give legal or tax advice. Any discussion of taxes herein or related to this document is for general information purposes only and does not purport to be complete or cover every situation. Tax law is subject to interpretation and legislative change. Tax results and the appropriateness of any product for any specific taxpayer may vary depending on the facts and circumstances. You should consult with and rely on your own independent legal and tax advisors regarding your particular set of facts and circumstances. Life insurance is medically underwritten. Clients should not cancel their current coverage until their new coverage is in force. Surrender charges may be due on an exchange of one contract for another. A change in policy may require a medical examination. Surrenders may be taxable. You should consult your own tax advisors regarding tax liability on surrenders. Guarantee Advantage Universal Life is issued by MetLife Investors USA Insurance Company, Irvine, CA on Policy Form Series 5E and in New York only by Metropolitan Life Insurance Company, New York, NY on Policy Form Series 1E NY. All are MetLife companies. All guarantees are subject to the claimspaying ability and financial strength of the issuing insurance company. December 2011 Life Insurance Products: Not a Deposit Not FDIC-Insured Not Insured By Any Federal Government Agency Not Guaranteed By Any Bank Or Credit Union May Go Down In Value MetLife Investors USA Insurance Company 5 Park Plaza, Suite 1900 Irvine, CA Metropolitan Life Insurance Company 200 Park Avenue New York, NY metlife.com CLUL22169 L [1212] 2011 METLIFE, INC. PEANUTS 2011 Peanuts Worldwide