John Hancock's Redesigned Accumulation IUL Product Offers Strong Death Benefit Protection, Significant Cash Value Growth Potential

Enhanced Product Helps Consumers Protect Their Financial Future

PR Newswire

BOSTON, Feb. 24, 2014 /PRNewswire/ -- John Hancock Insurance today announced that it has launched a redesigned indexed universal life insurance product—Accumulation IUL.

The redesigned product provides strong death benefit protection and significant cash value accumulation potential that can help consumers supplement their retirement income and meet other financial goals.

"Nearly 80 million baby boomers are preparing to exit the workforce over the next 20 years," said Mike Doughty, President, John Hancock Insurance. "They want to protect their family's financial well-being today, but are also increasingly concerned about maintaining their current lifestyles or running the risk of outliving their savings in retirement."

He added that innovative and attractive product solutions like Accumulation IUL are designed to maximize cash value accumulation and help consumers be better prepared to meet future goals.  Accumulation IUL offers downside protection but with the potential for growth through returns linked to the index. The product features a simple and straightforward design with the flexibility of three indexed allocation options.

"John Hancock is dedicated to delivering products that are among the best and most competitive in the industry—  offering flexibility, value and protection to consumers, as well as  more competitive offerings for our distribution partners," Mr. Doughty said.

About John Hancock Financial and Manulife Financial
John Hancock Financial is a division of Manulife Financial, a leading Canada-based financial services group with principal operations in Asia, Canada and the United States. Operating as Manulife Financial in Canada and Asia, and primarily as John Hancock in the United States, the Company 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 C$599 billion (US$563 billion) as at December 31, 2013. 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
The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers and administers a broad range of financial products, including life insurance, annuities, investments, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found at

Insurance policies and/or associated riders and features may not be available in all states.

The No-Lapse Guarantee (NLG) is automatically included with Accumulation IUL. 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

Loans and withdrawals will reduce the death benefit and the cash surrender value, and may cause the policy to lapse. Lapse or surrender of a policy with a loan may cause the recognition of taxable income. Withdrawals in excess of the cost basis (premiums paid) will be subject to tax and certain withdrawals within the first 15 years may be subject to recapture tax.  Additionally, policies classified as modified endowment contracts may be subject to tax when a loan or withdrawal is made.  A federal tax penalty of 10% may also apply if the loan or withdrawal is taken prior to age 59 1/2.  [Cash value available for loans and withdrawals may be more or less than originally invested.] Withdrawals are available after the first policy year.

Insurance products are issued by: John Hancock Life Insurance Company (U.S.A.), Boston, MA 02117 (not licensed in New York) and John Hancock Life Insurance Company of New York, Valhalla, NY 10595.


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