Protection you can count on for life.

Transcription

1 RiverSource Life Insurance Company RiverSource Life Insurance Co. of New York RiverSource Foundations Protector universal life insurance Protection you can count on for life N (1/15)

2 Ameriprise Financial Confident Retirement approach The Ameriprise Financial Confident Retirement approach breaks retirement planning down into doable steps to take the uncertainty out of facing your future. Your financial advisor can offer practical advice and solutions to cover your essential expenses, ensure your lifestyle, prepare for the unexpected and leave a legacy. Knowing your loved ones and your retirement are protected, you can enjoy a more confident retirement. Life insurance combines protection with the opportunity to help meet other financial goals.

3 Help secure the dreams of those who matter most Thoughtful retirement planning that includes life insurance protection can help you better navigate retirement and help secure the financial futures of those you hold dear. RiverSource Foundations Protector universal life insurance can help you Protect those who matter most to you. A guaranteed income tax-free death benefit pays directly to your heirs, which saves them the time and cost that comes with probate and taxes. The insurance remains in force no matter how your health changes as long as premiums are paid on time.* All guarantees are based on the continued claims-paying ability of the issuing company. Protect the future of a business. Or provide executive benefits for key business employees and owners. With Foundations Protector universal life insurance, you can help ensure your business has the financial resources needed to move forward were an unexpected death to occur. It can also provide a competitive benefit package to help retain top employees. Help increase retirement security for your spouse and other dependents. Foundations Protector insurance can provide financial resources when you are no longer here. Leave the legacy you desire. By structuring the ownership of your life insurance policy, you can help reduce the effects of estate taxes. Foundations Protector universal life offers affordable, lifetime insurance protection. Plus, it offers flexibility and control by allowing you to customize your policy, choose an insurance amount and policy features that are right for you, and adjust the policy to help meet your changing needs throughout your lifetime. * It is possible that coverage will terminate when either no premiums are paid following the initial premium, or subsequent premiums are insufficient to continue coverage. 3

4 Help plan for the future with permanent, stable and reliable protection While insurance protection is the primary purpose of Foundations Protector universal life insurance, you can also use it to: Provide an affordable, guaranteed death benefit for life. Foundations Protector insurance offers a level, guaranteed lifetime death benefit designed to fit comfortably in your budget that helps protect your family or business from the financial consequences of your death. In addition, the insurance premium that guarantees your coverage will not increase, as long as you continue to pay premiums in full and on time. Provide a guaranteed fixed rate of return. Before you purchase life insurance, be sure to ask your financial advisor about the policy s features, benefits and fees and whether the insurance is appropriate for you based upon your financial situation and objectives. 4

5 Roger, a sales manager, and his wife, Karen, are age 60 and age 58, respectively. They have an annual household income of $165,000 and their top three financial goals include continuing to pay for their son s college education, increasing their retirement savings and maximizing their income in retirement. So far, they are moving in the right direction. They have a combined IRA balance of $390,000, stock and other investments worth $600,000, and each of them carries a $75,000 term life insurance policy. Karen will also receive a pension in retirement. After meeting with their financial advisor, they realize their current insurance coverage is not enough to protect their retirement goals if an unexpected death occurs. Upon their advisor s recommendation, Karen purchases a $300,000 RiverSource Foundations Protector universal life insurance policy. And both Karen and Roger purchase a $250, year term life insurance policy. The term life insurance will provide the temporary coverage they need to protect their financial goals over the short term if an unexpected death occurs. The Foundations Protector universal life insurance policy may provide Karen more flexibility when selecting her pension plan payout option increasing her retirement income and provide an adequate death benefit to replace the survivor income option for Roger. If Roger passes away before Karen, the policy s death benefit could help their son offset taxes on the inherited qualified plan dollars. Hypothetical example for illustrative purposes only. 5

6 Help ensure flexibility for life Your financial needs change over time, so you ll need a financial solution that can grow with you. RiverSource Foundations Protector universal life insurance offers you the flexibility you need to: Control decisions affecting the death benefit, death benefit guarantees and premium amount to help keep them in line with your financial strategy. Customize the policy to help meet your specific goals by offering you optional riders. Some riders may carry additional fees. Not all riders are available in all states. Easily change beneficiary and owner designations to help ensure the policy reflects your current situation. 6

7 Cathy, age 73, enjoys a comfortable retirement. Her sources of retirement income include a pension, an IRA with a $423,000 balance and non-qualified investments worth $210,000. She also owns a bank CD that she does not need for her income. Her key financial goals are maintaining her current lifestyle, providing a charitable donation to the hospice center where she volunteers, and leaving a legacy for her children and grandchildren. After meeting with her financial advisor, Cathy purchases a $250,000 RiverSource Foundations Protector universal life insurance policy to help meet her legacy goals for her children and grandchildren. Cathy likes knowing that the policy s income tax-free death benefit will be paid directly to her beneficiaries at the time of her death, bypassing the potentially timeconsuming and costly probate process. Because she doesn t need any income from her bank CD, she opts to use this money to pay for the policy by making 10 annual payments. Also, since Cathy has provided for her children and grandchildren using life insurance, she feels comfortable naming the hospice center as her IRA beneficiary. Additionally, as a qualified charity, the hospice center will be able to access the inherited IRA assets income tax-free. Hypothetical example for illustrative purposes only. Talk with your financial advisor today about RiverSource Foundations Protector universal life insurance and how its affordable, permanent protection can give you added financial stability and flexibility to protect your loved ones. 7

8 The RiverSource Story Life has many twists and turns and we understand the importance of balancing the need to protect what is important to you while you invest toward your financial goals. RiverSource creates innovative products designed with you and your life in mind. Through a balance of asset and risk management and built on a heritage of over 120 years, we work with you and your financial advisor to help grow your assets, manage your income and protect what matters most today and tomorrow. In Oregon, this brochure is authorized for use only when accompanied by the Oregon surrender schedule information, item # The no-lapse guarantee value is based on a different interest rate and policy costs than the policy s cash value and cannot be accessed through withdrawals and loans. In order to maintain the no-lapse guarantee the no-lapse guarantee value must be greater than zero. Paying a premium less than the necessary amount to maintain this no-lapse guarantee value, or paying a premium late, will result in a reduced period of no-lapse guarantee or policy lapse. If your net no-lapse guarantee value is zero, the no-lapse feature terminates. If the no-lapse feature terminates, additional premiums would be required to resume the no-lapse guarantee. If you pay only the minimum premium required to maintain the guarantee, you may forego the advantage of building cash value in the policy. The no-lapse guarantee may be reinstated within one year from the date of its lapse if the policy is in force, provided sufficient premium is paid to reinstate the guarantee. If the no-lapse guarantee terminates, you may be required to pay significantly higher premiums than the no-lapse guarantee premium to keep the policy in force. In Illinois, no-lapse guarantee is referred to as coverage protection. The Confident Retirement approach is not a guarantee of future financial results. Ameriprise Financial Services, Inc. Member FINRA and SIPC. riversource.com/insurance Neither RiverSource Life Insurance Company, nor RiverSource Life insurance Co. of New York, nor their affiliates or representatives, offer tax or legal advice. Consult with your tax adviser or attorney regarding your specific situation. This brochure applies to and A, and state variations thereof, with endorsement (where available) and in New York to A with endorsement Issued by RiverSource Life Insurance Company, Minneapolis, Minnesota, and in New York only, by RiverSource Life Insurance Co. of New York, Albany, New York. Affiliated with Ameriprise Financial Services, Inc RiverSource Life Insurance Company. All rights reserved N (1/15)