Products

Within the global financial services market, the creation of offshore life insurance & annuity products has been one of the fastest growing sectors. However, insurance companies are extremely selective when appointing general agents to distribute their products. L&A has worked diligently to secure agreements with a core group of companies that have been chosen for their product quality, financial stability, support systems and response time. L&A continues to review the market to ensure the widest range of products is made available to our partners.

Insurance Products

Offshore life products can be highly customized to fit each client's unique needs. The majority of offshore life insurance sales are either Universal Life or Private Placement Variable Universal Life (although some Term Life products are available).

Universal Life

• Group Contract with Certificates or an Individual Policy
• Must be owned by a Trust, a Company or a Partnership
• US Dollar Policies
• No Tax Implications if Policy Properly Structured
• Minimum Annual Premium of $10,000
• Minimum Death Benefit of $1,000,000
• A Guaranteed Minimum Rate of Return
• Loans Can be Made Against the Cash Value of the Policy
• Very Highly Rated Insurance Companies
• Most Transactions Must be Completed Offshore

Private Placement Variable Universal Life

• Limited to High Net Worth Individuals
• Minimum Single or Aggregate Premium of $1,000,000
• Investment Suitability Questionnaire Must be Completed by the Client
• Clients Choose the Underlying Policy Investment
• Segregated Accounts
• Varying Claims Paying and Financial Stability Ratings
• No Minimum Rate of Return Guarantee
• Loans Can be Made From Account Value
• Most Transactions Must be Completed Offshore

Annuity Products

Annuity products in traditional markets have been for accumulation purposes or to provide income. Insurance companies have been the only companies that can issue annuities where income is guaranteed for life. However, these types of annuities are not generally available in the offshore market. What is available fall into two basic categories 1) Investment Annuities and 2) Private Placement Variable Annuities.

Investment Annuities

• Not Available for Citizens or Residents of The United States or Canada
• Certificate Issued Under a Group Annuity
• Death Benefit Guarantees Backed by the Claims Paying Ability of the Insurance Company
• Ability To Name Beneficiaries and Avoid Probate
• Fixed Accounts With Guarantee of Principal And Interest
• Diversification Through a Variety of Variable Investment Options
• US Dollar Accounts
• Transactions Can be Completed in the Client's Own Country
• Automatic Dollar Cost Averaging Option
• Accounts Managed by Internationally Recognized Investment Managers
• Minimum $50,000 Investment (Amounts Over $2,000,000 Requires Approval by the Issuing Insurance Company)

Private Placement Variable Annuities

• Limited to High Net Worth Individuals
• Minimum Single or Aggregate Premium of $1,000,000
• Primarily For Use by U.S. Tax Payers
• Alternative Investment Strategies are Preferred Investments
• Tax Deferral Usually Until Age 85 and Until Funds Withdrawn if a U.S. Tax Payer
• Offshore Insurance Companies Which Issue These Annuities Do Not Have to Meet State Insurance Rules
• Investments Are Made Into Segregated Accounts and Do Not Form Part of the Insurance Company's Assets
• Transactions Must Be Completed Offshore