Principal - Business Value Increase Rider Available on Term
04-24-2024
Principal's new Term '23 product is now offering a unique and business-forward Business Value Increase Rider, which allows business owners to get increases in their coverage without additional underwriting based on the growth in the value of their business.
HOW IT WORKS -
- The rider works in three-year cycles starting with the business being valued before coverage using Principal's complimentary Informal Business Valuation Service.
- The coverage is automatically increased 5% after years one and two, for a total increase of 10%.
- After the third year, the business is valued again. Any increase in value above 10% results in a matching percentage increase to the policy's face amount.
SOME DETAILS -
- There is no cost to have this rider, however when an increase is exercised, the premium will increase to reflect the higher face amount.
- The increases are non-underwritten and fully commissionable.
- Policy face amount must be $1MM or greater and is only available on Principal 10-, 15- and 20-Year Term.
STARTING THE CONVERSATION -
- Not sure where to start? Use Principal's complimentary Informal Business Valuation service to open the door. Not only can Principal use that information for rider purposes, but it also provides overall business planning opportunities.
Please give our life sales team a call at 800.792.6795 if you have any questions.