Life Insurance

Basic Policies

Basic policies (Term 10, Term 15, Term 20) allow conversion to only one Ohio National permanent life insurance product, currently Virtus Basic, a universal life insurance policy.

Expanded Policies

Expanded policies (Term 10 Plus, Term 15 Plus, Term 20 Plus) allow conversion to any available permanent life insurance product. Recap Term is a 10-year guaranteed rate policy designed for clients who plan to convert their term life insurance policies within the first five years, with all premiums paid going to their conversion credits (subject to a $5.00 per thousand maximum and no more than the base premium for the new policy). The conversion credit is reduced to one year's premium credit after the fifth policy anniversary. Recap term policies have Ohio National's expanded conversion feature.

YRT Plus II

YRT Plus II is an annually renewable term life insurance policy. The premium rates are fully guaranteed and increase on an annual basis. YRT Plus II is designed for your clients who need temporary protection and the option to renew for up to 10 years. It is convertible during the first three years to any available permanent life insurance policy. The actual underwriting class and gender will be used upon conversion. A conversion credit equal to the annual premium (up to $5 per $1,000 of face amount) is available.

YRT Plus II has one underwriting class, Standard Unisex, and is not available for table-rated cases. The Waiver of Premium for Total Disability (WPD) Rider is the only rider available.

Ameritas Key Stone Term

This product works best when clients plan to convert to permanent coverage eventually and are willing to pay for that privilege. Consider Keystone Term in these sales situations:

• High need for insurance protection but low cash flow, including new parents, new homeowners, affluent clients who are asset rich and cash poor.
• Business planning, including debt protection, key person and buy sell.
• Income or asset replacement

In addition to its more competitive premiums, Keystone Term also provides one of the strongest conversion privileges in the industry.

• Keystone Term is convertible at any time (up to age 75) to any Ameritas permanent product. All or part of the term coverage may be converted up to the maximum permanent product face amount.
• Keystone Term offers a conversion credit of up to one year’s premium during the level term period. Many competitors don’t offer a conversion credit and among those that do, the credit is often not commissionable. Keystone Term offers a 20% commission on the conversion credit.
• Keystone Term uses the same underwriting classes as Ameritas permanent products, which means there are no underwriting surprises at conversion.

When talking to clients about Keystone Term you also might want to mention:

• Same Payor Discount—Keystone Term offers a 50% discount on policy fees if two policies have the same payor. Over the life of term insurance policies, this discount can add up to significant savings.
• Policyholder Focus— Ameritas is a mutual company which means there are no external shareholders to satisfy so policyholders can come first.

Prestige 100

Prestige 100 is the building block, the foundation, of Ohio National's life insurance portfolio. As a base policy, Prestige 100 provides strong long-term values for the client in both cash value and death benefit. Values are delivered through a strong dividend stream that builds both cash and death benefit when used to purchase paid-up additional insurance (PUAs). PUAs not only add to the cash value and death benefit, but they are able to generate additional dividends for the policy over time.

When combined with various riders, Prestige 100 can be modified to a lower premium policy (using the Plus rider), a cash accumulation oriented policy (API rider) or even a non-guaranteed short pay policy.

Product Strengths

• Prestige 100 delivers competitive values at 20, 30 and 40 years with regard to the competition.
• The rate of return on the cash value indicates Prestige 100's ability to fund future cash flows.
• Prestige 100's competitive death benefit return represents the product's value as a pure lifetime protection policy.
• Prestige 100 also works well in the blended whole life arena. When you add the optional Plus rider to the base policy you can provide a low, level-premium death benefit solution that provides some of the guarantees of whole life insurance. (While the lower premium can be attractive, bear in mind that the guarantees of whole life will only apply to the base policy, and the overall sustainability of the premium is subject to dividends being paid as projected.)

Prestige 10 Pay

Prestige 10 Pay is a guaranteed 10-pay solution, priced near the Modified Endowment Contract (MEC) limit at all ages.The bulk of the higher premium is used to guarantee to 10-year payment structure, with significant values left over for dividends. The end result is a contract that generates high rates of return on cash values in the early years of the policy (years 10-15) and maintains a competitive rate of return in the future.

Because the guaranteed 10-year payment structure limits the amount of total premium that can be paid into the policy, 10 Pay will generally not accumulate as much in total dollars as policies that have a longer payment cycle, even though the internal rates of return will be competitive.

Product Strengths

• With its short payment structure, Prestige 10 Pay is ideal for your clients interested in relying on future dividends to pay policy premiums. A 10 Pay policy will guarantee a payment period of no more than 10 years, with the potential of a shortened premium payment based on dividends. This can be a powerful discussion to have with parents of young children, with grandparents interested in gifting during their lifetime, or with anyone who wants a short, certain payment period.
• Prestige 10 Pay is very competitive in the marketplace regarding premiums, but delivers significantly higher values in the early years of the policy. The high early cash values increase liquidity in your client's overall asset pool, provide stability in times of economic turmoil and can serve as a source of emergency cash in times of personal financial strength.
• Beyond the first 10 years, the Prestige 10 Pay policy continues to provide competitive returns throughout the client's life. While overall accumulation will be less than a policy with a longer payment structure, the client with a 10 Pay policy can use future premium dollars in another asset - perhaps even another Prestige 10 Pay.

Prestige Value III

Prestige Value III is an ideal fit for premium-sensitive prospects as it is one of the lowest premium participating whole life products in the marketplace today. Those more interested in guaranteed values than current values (dividends) will also want to consider Prestige Value III.

Because Prestige Value III provides the lowest-level guaranteed premiums in our whole life portfolio, there is very little excess premium for dividends. In fact, under our current dividend scale, Prestige Value III is not projected to pay a dividend until after the 10th policy anniversary. If your client would like to increase cash values, the addition of either the level-premium or flexible-premium API rider would be appropriate.

Prestige Value III does have extremely strong guaranteed cash value, which can be accessed through policy loans and provides a solid foundation for clients. For the healthiest individuals (Preferred and Super Preferred classes) increases in guaranteed cash value generally equal or exceed premiums paid as early as the third (age 45+) and fourth (under age 45) years. The increases continue that pattern for a long time afterwards and may result in a positive internal rate of return (IRR) on guaranteed cash value in as little as 11 years. This can make it an attractive option for any individual needing permanent life insurance and wanting more security on their cash values.

Prestige Value III’s low premium structure makes it the best choice for a guaranteed death benefit, giving your clients security in planning for the future. For nonsmokers, guaranteed internal rate of return at life expectancy is approximately 3.00 percent after-tax. 

Prestige Max

Prestige Max' premium approaches that of a Modified Endowment Contract (MEC). Max is designed to provide high early dividends and long-term cash flow. This whole life insurance policy is paid up at age 65 (or 10 years after issue, whichever is later) and is intended to generate significant amounts of cash flow through its preferred loan feature. This policy works well for executive bonus or deferred compensation plans.

Keystone Whole Life

Keystone Whole Life can be structured to meet a wide variety of personal and business needs and goals.

Young families, single parents, families with dependent children and/or elderly parents may be interested in providing funds to replace the income of a breadwinner or pay debts.

Parents and grandparents may be interested in providing juvenile life insurance protection and/or potential funding for future education or other financial goals.

People in their 30s, 40s or 50s with medium to high income who have maximized their qualified retirement plan contributions may be interested in potentially generating supplemental retirement income.

Individuals in their 50s, 60s and 70s with a high net worth may be interested in charitable or estate planning.

Small business owners may want to protect their business and use a whole life insurance policy as part of key employee insurance, buy-sell or business continuation plan.

Small business owners may want to provide employee incentives and use a whole life insurance policy as part of deferred compensation, executive bonus or employer sponsored retirement plan.

When talking to clients about Keystone Foundation Whole Life, you many want to mention these key features:

Guaranteed Death Benefit— Premiums and benefit amounts are guaranteed, so clients know how much and how long they’ll pay to provide lifetime protection for those they care about.

Guaranteed Cash Accumulation—Guaranteed, tax-deferred interest of 4% and the way the policy is structured can help Keystone Foundation Whole Life build competitive, guaranteed cash value over the long term.

Dividends—Dividends are not guaranteed but have historically been paid year after year and help generate cash value early in the life of the policy. Ameritas Care4Life Acceleration Rider—Provided at no cost, this rider provides early access to the policy’s death benefit to improve quality of life and protect loved ones from financial hardship if your clients suffer from a critical, chronic or terminal illness.

Flexible Premium Design—The term and paid up riders on Keystone Foundation Whole Life can be adjusted to generate additional guaranteed cash value. In the illustration software, select Level Pay to 65 or Level 20 Pay from the Plan Design drop down menu, plug in the target premium and you’ll quickly find a combination to provide strong guaranteed death benefit and cash value. Other riders can create flexibility so Keystone Foundation Whole Life can adapt to clients changing needs.

V-Pro UL

V-Pro UL is Ohio National's highly competitive, current assumption universal life insurance policy.

20-Year No-Lapse Premium Guarantee

The V-Pro UL no-lapse premium guarantee is 20 years or until age 80, whichever happens first (10-year minimum no-lapse).* This means the policy is guaranteed not to lapse, even if the cash surrender value is zero, as long as the cumulative premiums paid (less any loans and withdrawals) equal or exceed the monthly cumulative no-lapse premium. This is a very competitive guarantee and is an advantage for you in most selling situations.

The V-Pro no-lapse (minimum) premium will increase by approximately five percent due to the larger no-lapse guarantee. However, the great majority of V-Pro UL policies are illustrated at a premium above the minimum so this increase will not impact the competitiveness of the product.

Face Amounts for Guaranteed Purchase Option Rider

Face amounts for the Guaranteed Purchase Option (GPO) Rider have increased to a minimum face amount of $10,000 and maximum face amount for issue ages 18-39 of $100,000.

This rider guarantees the insured's right to buy additional coverage at prescribed points in the future without providing evidence of insurability and may be added after issue.**This increased limit is now the same as the riders on our whole life and term life insurance products.

* No-lapse guarantee is reduced to five years with the addition of an optional Additional Coverage Rider.
** Not available on rated insureds.

Streamlined Design

V-Pro UL offers a streamlined design in a powerful package. Your clients can choose an affordable minimum premium to meet the no-lapse guarantee, or they can pay a premium to carry the policy to maturity. They can single-pay, short-pay or pay for life.

V-Pro UL has attractive target premiums for you and provides compelling premium solve solutions for your clients.

Consistently Competitive

Whether your client needs an affordable death benefit or can afford a single-premium solution, V-Pro UL is a top competitor across the board.

V-Pro UL is consistently competitive in all classes, bands, and premium levels and offers an affordable minimum premium and high cash flow capability.

Proven Provider

Ohio National has nearly three decades of universal life experience. We issued our first UL policy in 1982, and since then, we have never raised Cost of Insurance (COI) on in-force policies.

V-Pro UL provides affordable solutions for:

Low premium/high death benefit sales such as:

• Personal insurance sales
• Buy-sell sales
• Split dollar sales, both business and family

Future cash flow sales

• Executive Bonus
• 401(k) alternative

V-Pro UL product design favors the long-term policyholder. With competitive current interest rates and a 75 bp persistency bonus after the tenth contract anniversary it gives every extra dollar strong interest earning capability. Combined with Ohio National's track record of affordable cost of insurance, V-Pro UL can deliver the solutions your clients want.

The same factors that make V-Pro UL outstanding in the low-premium market allow it to deliver higher long-term performance for every premium dollar. When you add in low loan rates and the flexibility of two DEFRA tests, you have a product that delivers value to your policyholders regardless of their goals.

 

Virtus Basic

Virtus Basic is the permanent conversion product for Ohio National’s “basic” term life insurance products. It is an ideal fit when there is a need for higher early cash value or for small face amounts on juvenile sales. 

Virtus Basic enhanced features include:

• Based on 2001 CSO Mortality Table
• Matures at age 121
• Built-in Continuation of Coverage Rider