Midland National releases Premium Deposit Account enabling policy owners to finance premium payments
WEST DES MOINES – Midland National Life Insurance Co. has released a new feature allowing policy owners to make a lump-sum payment into a Premium Deposit Account (PDA), which can automatically fund future annual premium policy payments.
The new Premium Deposit Agreement offered by Midland National will be for most single-life Indeed Universal Life products, according to the company's Vice President and Chief Distribution Officer Jerry Blair, and provides for worry-free premium payments, opportunity for growth and helping to avoid a Modified Endowment Contract (MEC).
“The new Premium Deposit Agreement is an excellent option for a holding account for funds intended to finance future premiums,” Blair said in a statement. “It’s an added benefit that we can now offer our new policy owners, and use to increase our marketability of Midland National’s Indexed Universal Life products.”
According to the company, the PDA will automatically pay a policy owner's annual premium payments as long as sufficient funds are maintained.
Midland National is offering the PDA on all single-life Indexed Universal Life products, with the exception of HX Heritage, and is applicable in all states and territories except Alaska, British Virgin Islands, Illinois, Kansas, Marianna Islands, New Hampshire, Oregon, Pennsylvania and the Virgin Islands.
For more information and to stay up-to-date on Midland National Life, visit MidlandNational.life.