September 4, 2008
ING Life Companies Moving to 2001 CSO Mortality Tables Transition Rules for 1980 CSO Policies
At the end of 2008, the ING Life Companies will join the rest of the life insurance industry in transitioning to use of the 2001 CSO mortality tables. This change is mandated by state insurance and federal income tax laws. It's also an opportunity for the ING Life Companies to streamline our portfolio with new, even more competitive products.
However, in many cases 1980, rather than 2001, CSO products may, in certain circumstances, give consumers more potential to maximize their cash value accumulation. With that in mind, the ING Life Companies are giving producers as much notice as possible to meet the legal requirements to obtain 1980 CSO products. Please read on for details to ensure that your 1980 CSO product sales are properly processed in 2008.
Transition Rules for Issuing New 1980 CSO Policies
In order to issue a new 1980 CSO policy:
- 1. A signed formal application must be received in good order by the ING Life Companies before the close of business on November 14, 2008;
- 2. All New Business requirements needed to put a policy in force, including initial premium, must be received by the ING Life Companies on or before December 19, 2008;
- 3. The policy must have a policy date (the date from which policy anniversaries are measured and from which cost of insurance charges are assessed) of December 28, 2008 or earlier;
Changes to Existing 1980 CSO policies in 2009 and Beyond
After December 31, 2008, there may limitations on what changes, modifications or exercises of policy provisions can be made to an existing 1980 CSO policy to avoid a loss of grandfathering under IRS Notice 2006-95 and make the policy subject to tax testing under the 2001 CSO mortality tables. Additional guidance on this issue will be forthcoming.
Keep an eye out for an update to ING Presents illustration software in early September. An agent message will be sent as notification on the 1980 CSO products being discontinued.
For agent/registered representative use only. Not for public distribution. cn61099122008
Please see the chart below for a listing of the available and discontinued products on January 1, 2009.
|
All States Except NY |
|
1980 CSO Products Being Discontinued |
2001 CSO Products Available Now and in 2009 |
|
Universal Life |
Term Life |
|
ING Asset Leverage (#1163-6/02)3 |
ING Return of Premium Term (#R1347)1 |
|
ING Capital Accumulator UL (#131906)1 |
ING TermSmart (#1177R)1 |
|
ING Capital Plus UL (#86-996)1 |
Universal Life |
|
ING Explorer Survivorship UL (#1167)3 |
ING Guaranteed Death Benefit UL II (#1174)3 |
|
ING Explorer UL (#1161-9/96)3 |
ING Protector UL (#87-100)1 |
|
ING Executive UL (#1164-3/03)3 |
ING Strategic Accumulator Survivorship UL (#1173)3 |
|
ING Guaranteed Premium Survivorship UL (#1176R)1 |
ING Survivorship Universal Life - Guaranteed Death Benefit (#1175) 3 |
|
ING Indexed Strategic Accumulator UL (#1171)3 |
Variable Universal Life |
|
ING Strategic Accumulator UL (#1169-11/05)3 |
ING Corporate VUL (#2516) 3 |
|
Variable Universal Life |
ING VUL - CV (#2517 (VUL)-3/08) 3 |
|
Asset Portfolio Manager (#2511) |
|
|
Estate Designer (#2506) 3 |
|
|
ING Corporate Advantage VUL3 |
|
|
ING Investor Elite (#126440)1 |
|
|
ING LifeDesign Asset Accumulator VUL (#2514 (VUL)-9/04) 3 |
... plus additional 2001 CSO products
scheduled for the remainder of 2008 |
|
ING Protector Elite (#86-080)1 |
|
|
Select*Life II (#84-662)1 |
|
|
Strategic Investor (#2513 (VUL)) 3 |
|
|
Variable Accumulation Design (#85-911)1 |
|
|
Variable Survivorship UL (#2504) 3 |
|
|
New York Only |
|
1980 CSO Products Being Discontinued |
2001 CSO Products Available Now and in 2009 |
|
Universal Life |
Term Life |
|
ING Capital Accumulator UL NY (#132149)2 |
ING Return of Premium Term NY (#1309NY)2 |
|
ING Guaranteed Premium Survivorship UL NY (#1176R NY)2 |
ING TermSmart NY (#1177R NY)2 |
|
Variable Universal Life |
Universal Life |
|
ING Investor Elite NY (#86-756 (VUL)-10/04) 2 |
ING Guaranteed Death Benefit UL NY (#1179R-NY)2 |
|
Variable Estate Design NY (#85-438) 2 |
ING Protector UL NY (#87-134)2 |
1 Issued by ReliaStar Life Insurance Company
2 Issued by ReliaStar Life Insurance Company of New York
3 Issued by Security Life of Denver Insurance Company
If you have any questions on the transition to 2001 CSO mortality tables, please contact Sales Support at 888-539-3232.
For agent/registered representative use only. Not for public distribution. cn61099122008
Variable products are sold by registered representatives and by prospectus only. To solicit variable insurance products, you must maintain a variable products insurance license and be a registered representative of a broker-dealer that has a current selling agreement with the issuing company. All guarantees are based on the financial strength and claims paying ability of the issuing company, who is solely responsible for obligations under its own policies. Life insurance products issued by ReliaStar Life Insurance Company (Minneapolis, MN), ReliaStar Life Insurance Company of New York (Woodbury, NY) and Security Life of Denver Insurance Company (Denver, CO). Variable universal life insurance products are distributed by ING America Equities, Inc. All are members of the ING family of companies. Only ReliaStar Life Insurance Company of New York is admitted, and its products issued, within the state of New York. 2008 ING North America Insurance Corporation