We track the performance of your index allocation(s). If the return is positive, you earn indexed interest based on that index allocation’s crediting method. If the return is negative, you don’t receive indexed interest – but you don’t lose value, either. Because you’re not actually participating in the market or buying shares in any index, your principal is never reduced due to market downturns (although certain fees and expenses will reduce policy values).
Over time, indexed interest can increase the “cash value” of your policy – the amount of money you can access via policy loans and withdrawals.1Remember that when accessing policy loans and withdrawals,1 you should consider that the available cash value and death benefit will be reduced accordingly and that the loans may be taxable if the policy lapses or is surrendered. You should consider the potential tax implications of taking policy loans and withdrawals and discuss them with your tax professional.
Do you have loved ones who will need financial support if you pass away prematurely?
Do you hope to leave a legacy to family members or a charitable organization?
Would you like the potential to build a source of available funds for future needs?
Are you interested in the opportunity for additional tax advantages?
1Policy loans and withdrawals will reduce the available cash value and death benefit and may cause the policy to lapse, or affect guarantees against lapse. Withdrawals in excess of premiums paid will be subject to ordinary income tax. Additional premium payments may be required to keep the policy in force. In the event of a lapse, outstanding policy loans in excess of unrecovered cost basis will be subject to ordinary income tax. If a policy is a modified endowment contract (MEC), policy loans and withdrawals will be taxable as ordinary income to the extent there are earnings in the policy. If any of these features are exercised prior to age 59½ on a MEC, a 10% federal additional tax may be imposed. Tax laws are subject to change and you should consult a tax professional.
Fixed index universal life insurance policies require qualification through health and financial underwriting.
The death benefit is generally income-tax-free when passed on to beneficiaries.
Product and feature availability may vary by state and broker/dealer.
Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America.
Products are issued by Allianz Life Insurance Company of North America, PO Box 59060, Minneapolis, MN 55459-0060. (P64339)
