Products & Liabilities
· Source: curated SEC 10-K filing analysis· 10 of 39 tables shown
Confidence:HighMediumLow
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Various traditional VA contracts without GWB/GIB riders | Medium |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | Separate Account (investment risk borne by policyholder) + PAB (fixed account option) | High |
| GAAP account balance (12/31/2024) | Separate account: $48,193M (without GLBs); PAB (VA total): portion of $35,267M | High |
| FY2024 sales | $1,882M (Other Variable without GLBs) | High |
| Risk types | Market risk (policyholder bears); lapse risk; mortality risk (GMDB if elected) | High |
| Distribution | LFD wholesale: wire/regional firms, independent financial planners, financial institutions, RIAs, managing general agents | High |
| Riders available | GDB rider available on some contracts | High |
| Surrender charges | Typically applicable during early years with declining schedule over time; MVA provision on some contracts | High |
| Crediting rate (fixed account) | Weighted-avg 2.1% on VA PAB; indexed/payout accounts comprise $33,507M of $35,267M | High |
| Guaranteed minimum (fixed account) | Ranges from 1.01% to 4.01%+; $1,753M at guaranteed minimum | High |
| MRB | GDB net amount at risk: $686M (VA total, net of reinsurance) | High |
| Hedging | Equity index options/futures and IR swaps for GMDB riders; part of $191.7B equity market notional | High |
| Reinsurance | Ceded MRB (VA): $(379)M ceded MRB assets | High |
| Lifecycle | Actively sold | High |
| Policyholder avg age (MRB) | 73 years (VA total) | High |
| Variable funds | Non-managed risk funds + Managed Risk Strategies funds | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | VA with Lincoln ProtectedPay lifetime income suite (GWB): Secure Core, Secure Core with Estate Lock, Secure Plus, Secure Max, Select Core, Select Core with Estate Lock, Select Plus, Select Max; American Legacy Target Date Income (GIB); i4LIFE Advantage Select GIB / i4LIFE Advantage Secure GIB; 4LATER Select Advantage (GIB) | High |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | Separate Account + PAB (fixed account) + MRB (guarantee component) | High |
| GAAP account balance (12/31/2024) | Separate account: $70,756M (with GLBs); 43.2% of total variable account balances have GLBs | High |
| Net MRB position (VA, 12/31/2024) | $(3,804)M net asset (asset $4,737M, liability $933M) | High |
| FY2024 sales | $3,114M (Other Variable with GLBs) | High |
| Risk types | Market risk (equity), interest rate risk, longevity risk (GWB/GIB), mortality risk (GDB), lapse risk, policyholder behavior risk, equity volatility risk | High |
| Distribution | LFD wholesale channels | High |
| GWB features | Protected lifetime income growing at greater of specified simple rate or AV growth; income base step-ups; various deferral bonuses | High |
| GIB features | Minimum income floor guarantees (65%/75% of highest income payment); annual step-up of income base | High |
| GDB features | Return of: current contract value, total deposits, highest anniversary value, or earnings enhancement -- varies by product | High |
| Surrender charges | Declining schedule, typically applicable during early contract years | High |
| MRB sensitivities (after-tax, net of reins.) | Equity -10%: $(850)M; Equity +10%: $725M; IR -25bps: $(350)M; IR +25bps: $325M | High |
| NAR -- GLB (net of reinsurance) | $1,521M | High |
| NAR -- GDB (net of reinsurance) | $686M | High |
| In-the-money % | GDB: 8%; GLB: 17% | High |
| Hedging | Primary VA hedge program: $191.7B equity market notional (call options $65.9B, put options $92.5B, equity futures $4.3B, TRS $26.9B) + $75.4B non-qualifying IR contracts (swaps, caps, futures) | High |
| Reinsurance | Ceded MRB: $(379)M; LNBAR reinsures VA guaranteed benefit riders via modified coinsurance | High |
| Lifecycle | Actively sold | High |
| Policyholder avg age | 73 years | High |
| Fund restrictions | Secure riders: Managed Risk Strategies funds + certain fixed-income options; Select riders: restricted allocation | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Lincoln Level Advantage (LLA); Lincoln Level Advantage 2 (LLA2, launched 2024 with SecureLock+ feature) | High |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | PAB (embedded derivative component -- indexed crediting) + Separate Account (variable fund option on LLA) | High |
| GAAP account balance (12/31/2024) | $34,310M (RILA PAB, gross) | High |
| Embedded derivative liability (RILA/FIA/IUL combined) | $12,449M liability / $1,115M asset | High |
| FY2024 sales | $4,526M (largest single product line by sales) | High |
| FY2024 gross deposits | $4,526M | High |
| Risk types | Equity market risk (indexed crediting), interest rate risk (option pricing), lapse risk | High |
| Distribution | LFD wholesale channels | High |
| Index options | S&P 500, Russell 2000, MSCI EAFE, Capital Strength Net Fee Index, First Trust American Leadership Index, NASDAQ-100, Capital Group Growth ETF Index, Capital Group Global Growth ETF Index | High |
| Indexed account features | Participation rates, caps, spreads, specified rates; repriced at end of each indexed term (up to 6 years), subject to contractual guarantees | High |
| LLA2 SecureLock+ | Allows locking gains and resetting growth potential intra-term | High |
| GDB rider | Available: return of current contract value or total deposits adjusted for withdrawals | High |
| i4LIFE Advantage rider | Available on LLA | High |
| Surrender charges | Declining schedule during early years | Medium |
| MRB (RILA component within Fixed Annuities MRB) | Net MRB: $32M liability; NAR: $240M | High |
| Hedging | Index options (S&P 500 and other indices) purchased to fund indexed crediting; $65.9B call option notional includes RILA/FIA hedges; 78% of equity derivative notional matures <1 year (roll risk) | High |
| Reinsurance | Ceded embedded derivative asset: $1,115M (indexed annuity reinsurance); account balances reinsured: $(5)M | High |
| Lifecycle | Actively sold -- fastest-growing product line | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Single premium fixed deferred annuities; flexible premium fixed deferred annuities | High |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | PAB (general account) | High |
| GAAP account balance (12/31/2024) | Portion of fixed annuity total: $25,963M PAB (includes FIA below) | High |
| FY2024 sales | Portion of $4,205M total fixed annuity sales | High |
| Risk types | Interest rate risk (spread compression), lapse/disintermediation risk, credit risk (GA portfolio) | High |
| Distribution | LFD wholesale channels | High |
| Crediting rate | Weighted-avg 3.1% on fixed annuity PAB | High |
| Guaranteed minimums | Range from <1.00% to 4.01%+; $3,813M at guaranteed minimum rate (15% of fixed PAB) | High |
| Market value adjustment (MVA) | Most policies have MVA provision within surrender charge period to protect against disintermediation | High |
| Surrender charges | Declining schedule during early years | High |
| Reinsurance | Significant: Fortitude Re (coinsurance, non-life-contingent annuities, $3.0B deposit asset); Commonwealth ($9.5B deposit asset); Athene ($2.1B deposit asset, modco) | High |
| Hedging | Interest rate swaps hedge duration mismatch; no equity-linked component | Medium |
| Lifecycle | Actively sold | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Fixed indexed deferred annuities (multiple index options) | High |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | PAB (embedded derivative -- indexed crediting); portion within fixed annuity PAB of $25,963M; "Other (indexed/payout/etc.)" = $12,898M within fixed annuity crediting rate table | High |
| Risk types | Equity market risk (indexed crediting), interest rate risk, lapse risk | High |
| Distribution | LFD wholesale channels | High |
| Index options | S&P 500, S&P 500 Daily Risk Control 5%/10%, J.P. Morgan First Trust Balanced Capital Strength 5/6, BlackRock Dynamic Allocation, Fidelity AIM Dividend Index | High |
| Indexed credit | Guaranteed never less than zero; participation rates, caps, spreads repriced at renewal dates | High |
| Surrender charges | Declining schedule, with MVA provision | High |
| Embedded derivative liability | Included in $12,449M RILA/FIA/IUL combined embedded derivative liability | High |
| Hedging | Index options purchased to fund indexed crediting obligations; part of $65.9B call option notional | High |
| Reinsurance | Included in fixed annuity reinsurance to Fortitude Re, Commonwealth, Athene | Medium |
| Lifecycle | Actively sold | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Fixed-rate immediate annuities; deferred income annuities; lifetime income options | High |
| Segment | Annuities | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | FPB (LFPB -- life-contingent payout); PAB (non-life-contingent) | High |
| GAAP reserve (FPB, 12/31/2024) | $2,009M (Payout Annuities LFPB) | High |
| Risk types | Longevity risk, interest rate risk | High |
| Discount rates | Interest accretion: 4.0%; current discount: 5.4% | High |
| Weighted-avg duration | 9 years | High |
| Reinsurance | FPB reinsurance recoverables: $1,477M (payout annuities); Fortitude Re coinsurance includes life-contingent payout annuities | High |
| Hedging | Interest rate swaps/bonds for duration matching | Medium |
| Lifecycle | Actively sold (as payout option) | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Traditional UL products (multiple generations); Lincoln Premier BOLI UL (bank-owned); Lincoln WealthPreserve SIUL (survivorship) | High |
| Segment | Life Insurance | High |
| Issuing entities | LNL, LLANY, FPP (run-off) | High |
| Liability type | PAB (general account) + FPB (UL additional liability / secondary guarantee reserve) | High |
| GAAP PAB (UL and Other total, 12/31/2024) | $36,599M (includes UL, IUL, VUL, MoneyGuard fixed account) | High |
| GAAP FPB (UL and Other, 12/31/2024) | $16,062M | High |
| FY2024 sales (IUL/UL) | $100M | High |
| NAR (UL and Other total) | $297,555M | High |
| Risk types | Mortality risk, lapse risk, interest rate risk (spread compression), longevity risk (secondary guarantees) | High |
| Distribution | LFD wholesale: wire/regional firms, independent planners, financial institutions, managing general agents | High |
| Crediting rate | Weighted-avg 4.0% on UL and Other PAB | High |
| Guaranteed minimums | 71% ($26.0B) of UL PAB at guaranteed minimum; ranges from <1% to 4.01%+; significant concentration at 3.01%-4.00% ($15.1B) | High |
| Surrender charges | 0-25 years depending on product | High |
| Secondary guarantees | Lifetime secondary guarantee: policy stays in force even if base cash value is zero, subject to minimum premium or reference value test; discontinued new sales in 2022 for UL with lifetime secondary guarantees | High |
| Reinsurance | Fortitude Re coinsurance: ULSG block ($10.6B recoverable); UL additional liability reinsurance recoverables: $5,211M; Resolution Life coinsurance: $4.9B (executive benefit + UL); YRT/MRT with LNBAR | High |
| Hedging | Interest rate contracts for ALM; no equity-linked hedging | Medium |
| Lifecycle | Actively sold (non-ULSG); ULSG block closed to new sales (2022) | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Lincoln WealthPreserve IUL; Lincoln WealthAccumulate IUL; Lincoln WealthPreserve SIUL (survivorship IUL); replacement IUL products expected 2025 | High |
| Segment | Life Insurance | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | PAB (embedded derivative -- indexed crediting component) + FPB (additional liability) | High |
| GAAP account balance | Included within UL and Other PAB of $36,599M; "Other (indexed/etc.)" portion = $6,585M | High |
| FY2024 sales | Included within IUL/UL $100M | High |
| Risk types | Equity market risk (indexed crediting), mortality risk, lapse risk, interest rate risk | High |
| Distribution | LFD wholesale channels | High |
| Index options | S&P 500 and other indices (similar to FIA) | High |
| Indexed credit | Guaranteed floor of zero on indexed portion; participation rates, caps, spreads repriced at renewal | High |
| Embedded derivative | Included in $12,449M RILA/FIA/IUL combined embedded derivative liability | High |
| Hedging | Index options to fund indexed crediting; part of equity market derivative book | High |
| Reinsurance | YRT mortality reinsurance; included in life insurance reinsurance program | Medium |
| Lifecycle | Actively sold | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Lincoln AssetEdge VUL (single life); Lincoln AssetEdge VUL (survivorship); Lincoln Premier VUL BOLI; Lincoln Premier VUL COLI; Lincoln Corporate Exec COLI; Private Placement VUL | High |
| Segment | Life Insurance | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | Separate Account + PAB (fixed account option) + FPB (secondary guarantee reserve) | High |
| GAAP separate account (UL and Other, 12/31/2024) | $28,841M | High |
| FY2024 sales | $85M | High |
| Risk types | Market risk (policyholder bears in sep acct), mortality risk, lapse risk, interest rate risk (fixed account) | High |
| Distribution | LFD wholesale; BOLI/COLI via specialized intermediaries to banks and mid-to-large corporations | High |
| Surrender charges | 0-20 years depending on product | High |
| Secondary guarantees | VUL with lifetime secondary guarantee: discontinued new sales in 2024; existing in-force block continues | High |
| Hedging | VUL hedging program (partial hedge for guaranteed benefits); changes in reserves from VUL hedging excluded from adjusted operations | High |
| Reinsurance | Resolution Life coinsurance: executive benefit and UL policies ($4.9B recoverable, includes VUL-related); YRT mortality | High |
| Lifecycle | Actively sold (non-VULSG); VULSG closed to new sales (2024) | High |
| Attribute | Detail | Confidence |
|---|---|---|
| Product names | Lincoln MoneyGuard (UL-based); MoneyGuard Market Advantage (VUL-based) | High |
| Segment | Life Insurance | High |
| Issuing entities | LNL, LLANY | High |
| Liability type | PAB (general account, UL-based) + Separate Account (VUL-based) + FPB (LTC benefit reserve) | High |
| FY2024 sales | $128M | High |
| Risk types | Mortality risk, morbidity risk (LTC claims), lapse risk, interest rate risk, longevity risk | High |
| Distribution | LFD wholesale channels | High |
| Product features | UL or VUL with LTC rider; policyholder can accelerate death benefit on tax-free basis for qualified LTC needs; additional pool for LTC expenses beyond death benefit; reduced death benefit to beneficiary if LTC used; death benefit or LTC payable even if AV = $0 (subject to secondary guarantee requirements) | High |
| Critical illness rider | Available on IUL/VUL policies; lump sum accelerated death benefit | High |
| Surrender charges | Applicable during early years, declining | Medium |
| Reinsurance | Fortitude Re coinsurance with funds withheld: $8.1B deposit asset (MoneyGuard block); LNBAR coinsurance (MoneyGuard blocks): $12B STAT recoverable from LNBAR as of 12/31/2023 | High |
| Hedging | Interest rate contracts for duration matching on general account portion | Medium |
| Lifecycle | Actively sold | High |