Updates and changes to our Asset Care® portfolio
OneAmerica® is committed to the long-term care (LTC) market and to offering products that bring value to both the agents and clients we serve together. To help ensure the longevity of our Care Solutions product portfolio and confidently continue to keep our promises to you and your clients, we must continually monitor market conditions, practices, pricing and features and make adjustments as needed. Below is information on upcoming changes to be aware of:
Changes on Asset Care Single Premium, Annuity Funding Whole Life and Asset-Care I in California
We’ll be making two key changes to our Asset Care portfolio, effective Sept. 25, 2021, that will affect the single premium life products only. These actions are precipitated solely by the prolonged low interest rate environment, which has the largest impact on our single premium products. These changes will not affect any recurring or Continuation of Benefits (COB) premiums.
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7702 Updates for Asset Care and Asset-Care in California
Concurrently, we will implement changes required by the recent updates to 7702 federal tax code. The regulatory changes require a reduction in our non-forfeiture interest rate (cash value interest rate). These updates will also be effective Sept. 25, 2021, with the impacts as follows:
- Asset Care (non-California): Changes have resulted in a slight increase to policy cash values with no impact to face amounts and long-term care benefit values
- Asset-Care in California: There will be a slight increase to cash values and little to no impact to the policy face amount and long-term care benefit values.
What you need to know: Transition rules
Sept. 24, 2021 will be the last day to submit Asset Care and Asset-Care I applications with the current single premium rates and the 20% AFWL bonus. Please review the full transition timeline for details.
Despite these changes to a portion of our portfolio, we remain steadfast in our commitment to offering long-term care protection to your clients, with features such as optional lifetime benefits, joint benefits under a single policy, a variety of funding options and our personalized Care Benefit Concierge service to support clients and their families when a claim need arises.
Contact your Regional Sales Director or the OneAmerica Care Solutions Sales Desk at (844) 833-5520 or LTCSales@oneamerica.com for more information.