Transamerica Life Bermuda today announced the launch of Prospera™ FlexiGrowth Indexed Savings (“Prospera FlexiGrowth” / “the Plan”), a savings-oriented indexed universal life (IUL) insurance plan that emphasises long-term wealth growth with flexible succession options.
With a legacy of nearly 180 years in global life insurance, Transamerica Life Bermuda understands the heightened focus on wealth preservation, succession planning, and comprehensive financial strategies among high-net-worth (HNW) individuals and families. Prospera FlexiGrowth enhances wealth growth while providing peace of mind against market fluctuations. The Plan combines an Index Account and a Fixed Account to optimise growth opportunities, backed by protection against market volatility.
Jeremy Young, Chief Commercial Officer at Transamerica Life Bermuda, said: “We are delighted to introduce this indexed savings insurance solution to the Singapore market, especially as our Genesis series of IUL insurance plans has gained significant popularity here. Prospera FlexiGrowth follows a similar model, providing customers with a new, balanced option that combines traditional savings which offer guaranteed but typically conservative returns with investment-linked plans that come with higher return potential and volatility.”
Locking in stable returns while accessing market-driven growth
Prospera FlexiGrowth offers a long-term growth solution for HNW customers, providing a versatile strategy for managing premiums and funds across its two primary accounts to pursue market growth with their gains from the policies safeguarded.
- The Index Account offers potential growth linked to the performance of either or both of the Nasdaq-100® and S&P 500 indices based on customers’ preferences, while providing protection against market losses with a Guaranteed Floor Rate of 0%.
- The Fixed Account ensures stable returns with a guaranteed minimum interest rate of 1.50% per year, securing earnings during market downturns.
Flexible fund allocation, liquidity options and succession planning
Flexibility is a key feature of Prospera FlexiGrowth. While enabling customers to allocate premiums and transfer funds between accounts to meet changing wealth accumulation and retention needs, the Plan’s Dollar Cost Averaging option helps mitigate exposure to market volatility. Liquidity is also provided through options such as policy loans or withdrawals to allow for fund access without jeopardising long-term financial goals.
To facilitate continued wealth accumulation in unforeseen circumstances, Prospera FlexiGrowth offers a range of options for seamless policy transfer. For instance, customers can designate a Contingent Owner or Contingent Insured in the event that the policy owner or the insured passes away. For legacy allocation, customers can leverage the Death Benefit Payout Option to distribute their policies’ benefits as desired.
Transparent structure with an easy application
Prospera FlexiGrowth offers a transparent structure that provides clarity on policy charges and enables easy tracking of policy performance through publicly available index information and the Plan’s declared crediting interest rate. The streamlined policy application process has no medical requirements, increasing accessibility for a broader range of customers.
Ensuring wealth preservation with built-in protection
Prospera FlexiGrowth offers a choice between a single premium or a 5-year annual premium payment structure. A cornerstone of the Plan is its cumulative guarantee, which ensures in the event of a death claim, a full surrender or policy maturity, the policy will not earn less than the Cumulative Guaranteed Crediting Interest Rate, regardless of the allocation between the Index Account and the Fixed Account. For single premium policies, this guaranteed rate is 2.50% per year for the first eight years, while 5-year annual premium policies benefit from this rate for the first 15 years. The rate will be maintained at 2.00% thereafter for both policy types. This feature provides customers with added security while offering both growth potential and a safety net for wealth preservation.
“Given the rising demand for both growth and stability, we believe the timing is just right for Prospera FlexiGrowth to meet the evolving needs of HNW individuals and families in a changing economy. Our aim is to empower our distribution partners to effectively support their clients in building legacies, fulfilling business purposes, safeguarding wealth, and planning for succession,” Young said.
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