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MONTHLY OVERVIEW: December Updates, Recaps and Department News

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Holiday Hours

 

EquiTrust Offices will close on Thursday, December 31st at 2:00 Central Time in observance of New Year's Day, and will reopen on Monday, January 4th.

 

Happy New Year!

 

ChoiceFour Minimum Interest Rate Reduced

 

ChoiceFour annual reset annuity contracts with effective dates (money received) of January 1, 2021 or later will be subject to a lower minimum interest rate. This does not impact rates for new money; see current rates below. Contracts issued on or before December 31, 2020 will have a minimum interest rate of 2%; on or after January 1, 2021, the minimum interest rate will be 1%. 

Option

Base Contract - 9 Years

MVA Option - 9 Years

Liquidity Option - 6 Years

Liquidity + MVA - 6 Years

Premium Bonus

None

1.50%

None

1.50%

Current Rate (as of 8/21/20)

2.40%

2.40%

2.00%

2.00%

 

Additional General Annuity Training – Due to NAIC Model Regulation

 

The National Association of Insurance Commissioners (NAIC) revised the Suitability in Annuity Transactions Model Regulation 275. Since finalized in February 2020, three states have adopted the Regulation: Arizona, Iowa and Rhode Island. As additional states adopt the Revised Regulation, producers doing business in those states will be required to complete additional General Annuity Training CE. 

 

The revisions to the Model Regulation require completion of EITHER a 1-hour General Annuity Training CE course available by producers who have taken the previous NAIC Annuity Suitability training, OR a new 4-hour General Annuity Training CE for those who have not taken it previously. General Annuity Training CE must be completed with a training vendor approved by the state of sale. For information about General Annuity Training vendors, visit Agents.EquiTrust.com. In the upper right corner, click Agent Training. Or, click here

 

Revised Forms – Due to NAIC Model Regulation, Effective 1/1/21

 

EquiTrust updated the Financial Needs Analysis (FNA) and Disclosure and Comparison of Annuity Contracts forms to comply with the revisions to the Model Regulation.   

  • The revisions to the FNA form help agents collect information required under the revised Model Regulation, including additional customer profile information, agent-compensation disclosure, and disclosure of products the agent is authorized to sell.
  • If applicable, customers are required to acknowledge their refusal to provide complete information, or if they choose to purchase a product not recommended by their agent.
  • The revised forms are required January 1, 2021 for all agents in all states.

For more information about form revisions, click here.

 

Sales-Idea Recap

 

Sales Ideas! Sent to You in December Issues of
SALES WEEK:

 

Resolve Wealth-Transfer Objectives

 

The Advantages of a Premium Bonus 

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News Briefs

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Sales & Marketing

Dynamo Strategy Index Flyer Available for Previously Issued Contracts/Policies

The Dynamo Strategy Index is no longer available for newly issued index annuities or single-premium life products. However, for previously issued contracts/policies, index accounts linked to this volatility-control index continue for the life of the contract/policy. A flyer is available for clients who may consider this index for future allocations. Click here.

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Sales & Marketing

Now Available in Print: Focus50 Index and MARC 5% Index Flyers

EquiTrust index annuities and life-insurance products offer index alternatives: risk-controlled indices.  During times that stock volatility is high, a risk-controlled index adjusts its mix of assets to use more cash and less stock. This lowers volatility back to the desired range and serves to keep option costs within a desired range. Also, a risk-controlled index may bundle a more diversified collection of assets than just stocks, and do it in a way that makes the index unique in the marketplace. Client-use flyers are available in print on the Agent Gateway Website; in the navigation bar, click Forms & Supplies, then Order Supplies. Login is required.

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New Business

Reminder: Four Contract/Policy Maximum

An individual applicant may simultaneously purchase up to four contracts/policies without EquiTrust approval.   

 
866.598.3694

Agents.EquiTrust.com

Products underwritten and issued by EquiTrust Life Insurance Company, West Des Moines, Iowa. Products distributed by EquiTrust Insurance Marketing Services; in California doing business as EQT Insurance Marketing Services.

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EquiTrust

7100 Westown Pkwy Suite 200
West Des Moines, IA 50266