Life insurance is an important component of any good financial plan. This is because it can help you to protect the assets that you have built, in addition to the people that you love.
The proceeds from a good, solid life insurance policy can provide ongoing income for a spouse and children so that they can continue to live the same lifestyle – even if you cannot be there. So, essentially, life insurance can help you to keep your promises.
It can also help your survivors to pay off large financial debts – including a home mortgage, high credit card bills, and other types of both business and personal loan obligations.
In addition, even the cost of an average funeral today can cost in excess of $10,000 – an amount of money that many families just simply do not have readily available. But by purchasing life insurance coverage, loved ones can have this money quickly, allowing them one less thing to worry about at an already stressful time in their lives.
When considering the purchase of life insurance, there are some key factors to consider. Certainly, the amount of coverage that you purchase constitutes as important criteria. This is because you will want to ensure that there are enough funds for your loved ones to live on and to use for their ongoing financial needs.
Deciding on which style of plan to purchase will also be a big factor. Term or permanent are the two main forms of life insurance coverage that are available in the marketplace today. Knowing which of these to choose from – and why – is essential.
One of the very biggest of the decisions that you can make when choosing your life insurance coverage is the insurance company that you purchase it through. This is because you will want to know that the company will be there for your loved ones – both now, and in the future.
When reviewing a life insurance carrier, such as Jackson National or Banner Life Insurance, its financial strength, stability, and claims-paying history are some of the key criteria to look for. One of the best ways of going about finding out this information is through the life insurance rating agencies such as A.M. Best, Standard & Poor’s, Moody’s, Fitch Ratings, and TheStreet.com. You can also do so through your state’s Department of Insurance webpage.
A Review of Jackson National Life Insurance Company
Jackson National Life Insurance Company has been in business since 1961. The company is headquartered in Lansing, Michigan, and it was named after President Andrew Jackson, the seventh president of the United States. The firm primarily offers retirement annuities and investments.
Just twenty years after opening its doors, the company went from $50 million to more than $160 million in just annuity sales, and by 1989, its sales exceeded $2 billion. In 1998, National Planning Holdings, Inc. (NPH) was formed, and that same year, Jackson National Life Insurance Company of New York was opened, which expanded Jackson National’s sales and distribution to all 50 of the U.S. states.
The company has continued to expand throughout the years, and in 2003, it launched Curian Capital, LLC, a separately managed accounts provider. Just two years later, in 2005, the firm acquired Life Insurance Company of Georgia, which essentially doubled the company’s policy count to approximately 3 million.
In 2011, Jackson National achieved a record amount of sales and deposits of $22.9 billion and record IFRS net income of $683 million. Continuing to expand, in 2012, the company acquired Reassure America Life Insurance Company, which increased its policy count once again, this time to roughly 4 million.
In 2013, the company earned more than $23 billion in total sales and deposits, with IFRS (International Financial Reporting Standards) pre-tax operating income of $2 billion. Today, the company has $212.2 billion in total assets and a long and successful financial track record.
The firm currently consists of three separate entities, including Jackson National Life Insurance Company, Jackson National Life Insurance Company of New York, and Brooke Life Insurance Company.
Jackson National Life Insurance Company garners high remarks from the insurance company rating agencies. These include the following:
- A+ (Superior) from A.M. Best. This is the second highest rating out of 16 rating categories.
- AA (Very Strong) from Fitch Ratings. This is the third highest out of 19 rating categories.
- AA (Very Strong) from Standard & Poor’s. This is the third highest out of 21 rating categories.
- A1 (Good) from Moody’s Investors Service, Inc. This is the fifth highest out of 21 rating categories.
Not only does Jackson rate well but their sells figures are something to be excited about too. Top United States producers in annuities and variable annuities in 2017. Their fixed rate deferred and indexed products also finished in the top 25 in 2017. These figures show you that many people trust their finances to Jackson.
When it comes to being secure and stable for a long time you want to make sure an insurance company has plenty of assets to cover claims. Jackson performs well here too and their leaders understand that staying in business it’s important to have large assets. They finished in the top 23 for surplus and reserves included in that is general assets, and in the top 10 for total assets.
As a subsidiary of Jackson National, Curian Capital, LLC, manufactures and distributes a very comprehensive suite of various investment strategies and asset management solutions for institutions, advisors, and their clients. This company uses a highly technologically advanced platform for doing so, which can, in turn, assist advisors in terms of efficiency and profitability. It can also help clients with a very highly customized investment management solution for their financial and retirement planning needs.
Another Jackson subsidiary, Jackson National Asset Management, LLC, provides investment advisory, transfer agency, fund accounting, and administration services for funds and separate accounts that support Jackson’s variable products, and employee 401(k) plans.
National Planning Holdings, Inc, a network of four independent broker-dealers, consists of the following:
- INVEST Financial Corporation
- Investment Centers of America, Inc.
- National Planning Corporation
- Sll Investments, Inc.
Products Offered By Jackson National
Jackson National offers multiple insurance products such as life insurance, annuity, and investment products. Including fixed, fixed-indexed, and variable annuities – which are the company’s flagship products.
The products are sold through 2 outlets, including Jackson National Life Distributors, LLC, (JNLD), and the Institutional Products department. JNLD handles the Jackson National retail products – including annuities – to both independent and regional broker-dealers, warehouses, independent agents, and other financial institutions.
The Institutional Products department at Jackson National sells medium-term notes, funding agreements, and guaranteed investment contracts – to banks, investors and pension providers.
Fixed Annuities
A fixed annuity will offer its owner a fixed amount of interest that is credited on an annual basis. The key benefit with fixed annuities is the safety of principal that they allow their owners – along with the satisfaction knowing that they will not be losing the money that they have oftentimes worked a lifetime to save. The tradeoff for this safety, however, is that the return on fixed annuities is somewhat low.
These types of annuities will offer their holders a fixed income stream – and, for those who choose the lifetime income option, they can offer a guaranteed income for the remainder of the individual’s life, no matter how long they live. This can be a great way to ensure that a retiree does not outlive his or her assets – especially given that life expectancies are so much longer today than ever before.
Jackson National sells 5 different options:
- MAX Family
- BonusMAX
- Action Family
- SuperMAX Family
- Immediate Annuity
Each of these is slightly different in how they operate and how they should be used. Some of them are for longer investments, while others are more of a short-term investment.
They also sell some fixed index annuities as well. Fixed indexed options offer stable returns without the risk of other investments.
Variable Annuities
A variable annuity works like a contract between an individual or business and an insurance company, under the terms of the contract insurance company will make periodic payments to the annuity investor, beginning either immediately or at some future date. Variable annuities are also considered to be tax-deferred investments, meaning that the contract owner pays no taxes on the income and investment gains from the variable annuity until they withdraw the money.
Variable annuities provide the opportunity for market appreciation through a number of different investment options. They also provide for the tax-deferred accumulation of funds, and future income. Variable annuities offer numerous benefits including, tax-deferred growth, the opportunity for market appreciation, liquidity, benefits to spouses, and benefits to heirs.
Variable annuities may also have an optional life insurance provider that offers a death benefit. If the annuity contract owner passes away prior to the time that the insurance company has begun making income payments to the annuitant, then a named beneficiary will be guaranteed to receive at least a specified amount of money, which is generally the amount of the purchase payments, or the total amount of the premiums that were deposited.
Variable annuities are designed for people who may be willing to take more risk with their investment in return for more growth potential. Historically, variable annuities have offered better returns than fixed rate annuities. However, it is important to keep in mind the added risk associated with this product.
With Jackson National, they have four variable annuities options:
- Elite Access
- Elite Access Advisory
- Perspective II
- Perspective Advisory
The Elite Access, Perspective II, and the Perspective Advisory allow people who are older to invest in an annuity. The Elite Access allows anyone who is up to 85 to invest. The Perspective Advisory has a limit of 85 as well, and the Perspective II has a higher limit of 90-years-old.
Each of these annuities has different advantages and limits. If you’re looking for annuities, then Jackson National can be an excellent start to your search.
How and Where to Obtain the Best Life Insurance Quotes
If you’ve gone to Jackson National Life Insurance Company to get life insurance, you’re going to be disappointed and very confused. They don’t sell any but don’t worry, you’ve come to the right place.
Obtaining quotes is not very hard, there are plenty of companies out there who will offer you one if you ask. However, doing so can take a lot of time and can be a repetitive process. It’s better to have someone else do the reaching out for you, and an independent agency is the best route to go. They can provide you with multiple offers in the same quote so its easier to compare the best term life insurance companies and their policies, benefits, and premium quotes – and to then make the decision in terms of which one will be the very best for your specific needs.
Wanting to jump-start the application process? Let us know and our quote calculator is geared to find the best result for you. It’s quick, simple, and you can do it from the comfort of your own chair. To commence you need to complete the form on the right side of our website.
Should you discover that you have any additional questions as you move through the process regarding Jackson National Life Insurance Company – then you have come to the right place. Our advisors are here to serve you and can answer the questions and concerns that you may have.
We can also show you how the quoting process works, and give more focus on the details such as what type of life insurance policy is right for you, how much death benefit coverage you need for your survivors and their needs, and which of the many available life insurance carriers will be able to serve you best.
There are so many details to keep track of and the application can get tiring. That is why we got into the insurance business. We love helping people figure out the best way to protect their family.
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