Important Update for Your Pending IUL Illustrations – AG49-A Benchmark Index Account Change

As communicated in the April 28 edition of the Lincoln Life Leader, effective with the illustration update on May 10, 2021, the Benchmark Index Account (BIA) will be changing, which will reduce the lookback rate and therefore impact illustrations for AG49-A compliant Indexed UL (IUL) products. This BIA change impacts the maximum illustrated rates allowed under AG49-A, but the size of the impact will vary based on the Indexed Account.  

This is an illustrative change only and is not a cap or participation rate reduction for any of these accounts. All new business and inforce illustrations compliant with AG49-A will be limited to the new maximum illustrated rates as of May 10, 2021 regardless of application submission date. However, this change does not impact policies sold prior to November 12, 2020 that fall under the original AG49 guidelines. 

If you have any pending cases for impacted IUL products, please note that if a revised illustration is required on or after May 10, 2021, the illustration will reflect the new maximum illustrated rates as of May 10, 2021. 

• The new maximum illustrated rate may be less than the original policy design that was illustrated and presented to the client.