AuguStar Life has launched the latest iteration of its Virtus indexed universal life insurance product, Virtus IUL III, promising enhanced income potential while maintaining protection features. The new product is designed to offer clients a combination of accumulation potential, superior income distribution, and protection benefits, making it suitable for both personal and business financial planning needs.
The Virtus IUL III follows AuguStar’s previous indexed universal life product launches, including Virtus Protection IUL introduced last summer. This latest version continues the company’s strategy of evolving its indexed product line, according to Mark Peterson, chief distribution officer for AuguStar Life. “Our strategy has been to elevate our indexed product line to be among the best in the business,” Peterson explained.
Key Features of Virtus IUL III
The Virtus IUL III offers several key features, including:
- Improved illustrated income potential, positioning it among industry leaders
- Use of straightforward indices such as S&P 500, Russell 2000, and EuroStoxx
- Variety of protection options, including level and increasing death benefit choices
- No-lapse guarantee
- Optional riders such as accelerated benefit rider for chronic and terminal illness
Peterson highlighted that the product addresses the needs of financial professionals seeking products with greater income and accumulation potential without sacrificing protection benefits. “Financial professionals are looking for products with greater income and accumulation potential features that don’t sacrifice the protection benefits, and this product delivers in a big way,” he stated.
Market Positioning and Distribution
The Virtus IUL III provides AuguStar with a more comprehensive accumulation product, offering value from both cash value accumulation and distribution perspectives. This completeness allows the company to cater to various advisor preferences, as some focus on accumulation, others on distribution potential, and some on both.
The product is available in 48 states and Puerto Rico, with approval pending in California. New York remains excluded due to licensing issues. AuguStar plans to distribute Virtus IUL III through both directly affiliated agents and third-party distribution channels, particularly in the brokerage IMO space where they’ve focused growth.
Target Market
The product is aimed at consumers needing death benefit protection while seeking strong cash value performance for accumulation and distribution purposes. It appeals to those preferring straightforward, simple product designs that offer clear understanding of how the product works.
As AuguStar Life continues to evolve its product offerings, the Virtus IUL III represents a significant step in enhancing its indexed universal life insurance capabilities. The company’s focus on creating products with robust income potential and protection features aligns with its innovative approach to the insurance market.
