John Hancock Life Insurance Launches New Indexed Universal Life and Premier Life Products

BOSTON, Nov. 1, 2011 /PRNewswire/ -- John Hancock Life Insurance has launched two new products that enhance its portfolio and offer consumers expanded choices.

Indexed UL is designed to appeal to consumers who want downside protection with the potential for growth through participation in equity market returns. Premier Life(1) is designed to meet the needs of clients looking for a flexible alternative to whole life.

Indexed UL is a permanent life insurance policy with cash value accumulation potential and protection against market downturns. Indexed UL offers two Indexed Account options that credit interest based on annual changes to the S&P 500®(2) Index: a Capped Indexed Account(3) that currently credits up to 13 percent and an Uncapped Indexed Account(3) that currently credits up to the full performance of the S&P 500, less 5.5 percent. Both Indexed Account options offer a 0% minimum interest rate floor—eliminating market-based losses.

Premier Life offers many of the same features as a whole life policy, including reliable guarantees and attractive cash value growth potential. It also offers flexible premium payments, a key shortfall of participating whole life policies.

Both Indexed UL and Premier Life offer Long-Term Care coverage—an optional rider not available on whole life contracts or with most other Indexed UL policies. Both contracts also offer a host of other riders and features that address business and personal insurance needs.

"These two new products further demonstrate John Hancock's commitment to developing innovative and attractive product solutions in response to market conditions," said Steve Finch, President, John Hancock Life Insurance. "The new Indexed UL offers a unique combination of opportunity and safety, while Premier Life offers many of the values and guarantees you would expect from a whole life policy, but with much more premium flexibility."

About John Hancock Financial and Manulife Financial Corporation

John Hancock Financial is a unit of Manulife Financial Corporation, a leading Canadian-based financial services group serving millions of customers in 21 countries and territories worldwide. Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, Manulife Financial Corporation offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were $481 billion (US$498 billion) as at June 30, 2011. Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and under '945' on the SEHK. Manulife Financial can be found on the Internet at www.manulife.com.

The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers a broad range of financial products and services, including life insurance, fixed and variable annuities, fixed products, mutual funds, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found at www.johnhancock.com.

Policy Form Series: 11PRLIFE
11INDUL

1. Premier Life is a flexible premium adjustable life insurance policy.

2. Excluding dividends. Standard & Poor's®, S&P®, S&P 500®, Standard & Poor's 500 and 500 are trademarks of Standard & Poor's Financial Services LLC, a subsidiary of The McGraw-Hill Companies, Inc. and have been licensed for use by John Hancock. The Product is not sponsored, sold, endorsed or promoted by Standard & Poor's, and Standard & Poor's makes no representation regarding the advisability of purchasing the Product. The S&P 500® Index is an index of 500 stocks that are generally representative of the performance of leading companies in leading industries within the U.S. You cannot invest directly in the S&P 500® Index.

3. In New York, the current Cap Rate is 12% and the current Threshold Rate is 6%.

Both Indexed Accounts use a point-to-point interest crediting strategy with 1-year segments. The Index Segment Interest Credit proceeds are calculated and earned at Segment Maturity only.  If the policy terminates for any reason, any unmatured Segments will not earn interest credit.

The Participation Rate (100% guaranteed) is the percentage of the change in the value of the Index over the Segment Term that will be recognized in the calculation of the Interest Credit earned on either of the Indexed Account options.

On its Segment Maturity Date, each Segment earns interest at a rate equal to the rate of change in the Index over the Segment Term subject to a guaranteed 0% Segment Floor rate and, depending on the Indexed Account option elected, either a Segment Cap or Segment Threshold rate. Please contact your representative to discuss the differences between these options and for our current rates

The Fixed Account credits a declared rate that will never be lower than the guaranteed annual rate of 2.50%.

The policy does not directly participate in any stock or equity investments.

There are cost of insurance, surrender, and other charges associated with this policy.

Guaranteed product features are dependent upon minimum premium requirements and the claims-paying ability of the issuer.

Premier Life policies automatically include a no-lapse guarantee called the Death Benefit Protection (DBP) feature. This feature guarantees that the policy will not default until the insured reaches attained age 100, even if the cash surrender value falls to zero or below, provided that the DBP Value remains greater than zero and policy debt never exceeds the Policy Value. Policy owners who pay only the minimum premium required to keep the Death Benefit Protection in effect may find the Policy Value to be insufficient to keep the policy in force beyond the DBP period (a maximum of age 100).  Thereafter, premiums significantly higher than the DBP Premium may be required to keep the policy from lapsing at the end of the DBP period. Factors such as, but not limited to, the amount and timing of premium payments, loans, withdrawals, or any other change allowed under the contract could potentially terminate the DBP Feature prior to age 100. Once terminated, the DBP feature cannot be reinstated.

The No-Lapse Guarantee (NLG) is automatically included with Indexed UL. It guarantees that the policy will not default, even if the cash surrender value falls to zero or below, provided the NLG cumulative premium test performed at the point of lapse is met and policy debt does not exceed the policy value. At the end of the No-Lapse Guarantee period, the policy value may be insufficient to keep the policy in force.  Thereafter, premiums significantly higher than the No-Lapse Guarantee premium may be required to keep the policy in force.  If you pay only the premium to satisfy the No-Lapse Guarantee, you may be foregoing the advantage of building up policy value.  Once lapsed, the guarantee cannot be reinstated.  The maximum duration of the NLG is 15 years with lesser durations for older ages. The No-Lapse Guarantee is reduced to 5 years if you elect the Return of Premium rider or if you elect to increase the Supplemental Face Amount.  In Illinois the NLG is called "Death Benefit Protection." Factors such as, but not limited to, loans, withdrawals, or any other change allowed under the contract could potentially terminate the No-Lapse Guarantee.  

Insurance policies and/or associated riders and features may not be available in all states.  Some riders may have additional fees and expenses associated with them.

Insurance products are issued by: John Hancock Life Insurance Company (U.S.A.), Boston, MA 02116 (not licensed in New York) and John Hancock Life Insurance Company of New York, Valhalla, NY 10595.

SOURCE John Hancock Life Insurance