Resources

At Liberty Bankers, we’re committed to making it as easy as possible to find the insurance plans that are right for you. That’s why we provide helpful downloads and frequently asked questions to help guide our policyholders through the decision-making process.

Forms

For any other service forms not listed below, please contact your independent agent or our Policyowner Service Department.

Policyowner Service Request

(Form 7000-0508)
  • Change of Address
  • Change of Beneficiary
  • Change of Name
  • Request a Lost or Duplicate Policy

View Form

Annuity Distributions

(Form 7200-0211)
  • Systematic Withdrawal Plans
  • Required Minimum Distributions (for tax qualified accounts)
  • Annuitization Plans

View Form

Life Service Form

(Form LBL PHS)
  • Beneficiary, Name, or Owner Change
  • Change of Address

View Form

Useful Links

15 Things You Need to Know About Annuities

US News
Read More

Consider These 7 Things When Choosing Your Medicare Coverage

Medicare.gov
Read More

FAQs

These answers are intended to initiate discussions with our qualified agents. Once you’re ready to start your insurance journey, please reach out to an agent to review your personal situation.

Annuities

Do your annuities give me the option to select among different investment choices?

No. All of the annuity products offered by Liberty Bankers Insurance Group are “fixed” annuities. That means that the premiums you pay become part of our general account and you have no ability to direct investment choices. In return, we guarantee the safety of your principal and guarantee that you will earn interest each year. We assume all the investment risks.

Is an annuity considered a “security”?

It depends. Because of the safety of the guarantees in a fixed annuity, it is considered an insurance product and NOT a security. On the other hand, a variable annuity, which may include investments in more risky options such as mutual funds, is considered a security and requires a much higher degree of regulation. All of the products offered by Liberty Bankers Insurance Group are fixed annuities and are not securities.

What is a fixed indexed annuity (FIA)?

An FIA is a fixed annuity that links the interest rate that it pays you to an equity index. You can potentially benefit from a rising market, but a declining market likely means that you receive no interest for that year (but your principal is protected).

What is an equity index annuity (EIA)?

An EIA is the same product as an FIA. The names are used interchangeably, but the industry is moving toward using the terms FIA and fixed indexed annuity to avoid the product being confused with variable annuities and securities.

What kind of account fees will I have to pay?

With our annuities, there are none. Some annuities and investments impose annual maintenance charges, transactions fees, investment management fees, administration expense charges and/or mortality risk charges. When comparing annuities, it is important to determine the impact of fees and charges.

What is a surrender / withdrawal charge?

A surrender charge is a fee imposed if you decide to surrender your policy before the end of the period of time specified in your contract. A withdrawal charge is imposed if you withdraw more than the “penalty free withdrawal” amount provided by the contract. With our Bankers and Liberty Series products, the surrender charge is not applied in the event of an annuitant’s death. Bankers Elite Series products are subject to surrender charges in the event of the annuitant’s death should death occur during the surrender charge period unless the proceeds are distributed over a five-year period.

What happens at the end of the surrender charge period?

Your money earns a renewal rate of interest guaranteed to never be less than the minimum rate established in the year of issue. Your money will continue to earn guaranteed interest and many of our annuity contracts remain free and clear of surrender charges.

During a surrender charge period, do I have any penalty-free access to my money?

It depends on which annuity product is purchased. With our Bankers and Liberty Series products, generally all of your interest earnings are available to you for scheduled monthly withdrawals, subject to $100 minimum checks. Alternatively, up to twice each year, you can have penalty free access to all of your accumulated interest earnings. With the Bankers Elite Series products, however, surrender charges apply to all withdrawals because the Elite Series offers an enhanced interest rate in comparison to our other products.

How does an immediate annuity work?

In return for your payment of a single premium, we guarantee to pay you a specified income for the period of time you select. This period can be for a specified number of years, for as long as you live, or for as long as you and another person both live.

How do I get information about your products and services?

All of our products are sold by licensed insurance professionals. If you would like to discuss our products with a licensed insurance professional, simply contact us, and we will be happy to have a licensed insurance professional respond to you.

Is the premium I pay for an annuity tax-deductible?

Generally, no. Most often, premiums paid into annuities are not tax deductible. The most common exception to this general rule would be those premiums paid to purchase a qualified retirement account. For example, a traditional IRA (“Individual Retirement Account”) is considered a qualified account.

How are annuities taxed?

Earnings on annuities during the accumulation phase are income tax deferred until distributed. Funds distributed from an annuity may or may not be taxed, depending on many variables, including whether the distribution is from the interest your annuity has earned or from your principal invested. Whether your annuity is qualified (e.g., an IRA) or non-qualified also impacts how it is taxed. You should speak to your tax advisor on how taxes will be applied to distributions from your annuity. For example, generally a 10% penalty is imposed on IRA withdrawals made before you reach age 59 1/2.

When must I take distributions from my Traditional IRA?

You must begin taking what is generally referred to as required minimum distributions from your traditional IRA when you reach your required beginning date.

What is my required beginning date?

If you were born on or before June 30, 1949, you must begin taking distributions from your traditional IRA by April 1 of the year following the year in which you attain the age of 70½. Thereafter, a distribution must be taken each year by December 31. If you were born on or after July 1, 1949, you generally must begin taking distributions by April 1 in the year following the calendar year in which you turned age 72.

When must I take distributions from my Roth IRA?

During your lifetime, you are not required to take distributions from your Roth IRA. The minimum distribution requirements that apply to traditional IRAs do not apply to Roth IRAs. However, after your death, distributions must be made to your beneficiary.

What happens to my IRA when I die?

If your spouse is the sole beneficiary of your IRA, your surviving spouse may elect to be treated as the owner and not the beneficiary. If such an election is made, your IRA becomes the IRA of your surviving spouse and becomes subject to the normal distribution requirements of your surviving spouse’s IRAs.
Generally, if you die prior to your required beginning date and you have named persons other than your spouse as a beneficiary, those non-spousal beneficiaries must take all of your IRA distributions by December 31 of the tenth year following your death.
If you die after your attained age, distributions must be made to your beneficiaries in a manner that will distribute the remainder of your account at least as rapidly as it was being distributed before your death.

I am the owner and the annuitant of my non-qualified annuity. What happens to the money I have placed with your company when I die?

If your sole beneficiary is the surviving spouse, your spouse may elect to continue the contract by becoming the new annuitant and owner. By doing so, the surviving spouse continues to enjoy the benefit of income tax deferred growth. If your spouse does not wish to continue the contract, the death benefit is paid to your spouse and the payment is reported to the Internal Revenue Services (IRS).
If the surviving spouse is not the sole beneficiary, the entire annuity must be distributed by December 31 of the year containing the fifth anniversary of death. Alternatively, the beneficiaries may begin distributions to be made over ten years, if those distributions begin by December 31 of the year containing the first anniversary of your death.

Are there any nursing home or disability riders available on your annuities?

Nonqualified annuities in most states are issued with disability, nursing home and terminal illness riders for our Bankers and Liberty Series Products. These riders are not available with the Bankers Elite Series Products. There is no additional fee for these benefits. Please check with your licensed insurance professional for details.

May the owner be different than the annuitant?

Yes. Generally, the owner must be a natural person. However, a trust or corporation may be named the owner of an annuity contract, subject to certain restrictions.

What benefit is paid at the death of the owner, if different than the annuitant?

Under the terms of our annuity contracts currently being issued, the death of the owner, if different than the annuitant, will cause the accumulated value of the annuity, minus applicable withdrawal charges and Market Value Adjustment, to be paid to the designated beneficiary. Payment must be made in accordance with the applicable provisions of the Internal Revenue Code. If the sole beneficiary is the deceased owner’s surviving spouse, the surviving spouse may continue the annuity contract by becoming the new owner.

What benefit is paid at the death of the annuitant, if the annuity contract is owned by another individual?

Under the terms of our annuity contracts currently being issued, if the annuity contract is owned by an individual other than the annuitant, no death benefit is payable in the event of the annuitant’s death. When the annuitant dies, the owner must select a new annuitant within 60 days of the date of the annuitant’s death. If a new annuitant is not chosen, the owner will become the new annuitant.

Are joint owners permitted?

Yes, as long as the joint owners are married to one another. Joint ownership by individuals who are not married to one another is not permitted.

How should the annuitant and beneficiary designations be structured if the annuity contract is to be jointly owned?

One spouse should be the annuitant and both should be named as primary beneficiaries. The parties to the contract would then be, for example:
Annuitant: Husband
Owner: Husband and Wife
Beneficiary: Husband and Wife
Under this arrangement, if Husband dies first, the accumulated value of the contract would be paid to the remaining beneficiary, Wife. Since the sole beneficiary is the surviving spouse, Wife may continue the contract as the new annuitant and owner. If Wife dies first, the accumulated value of the policy, minus applicable surrender charges and Market Value Adjustment, would be paid to the remaining beneficiary, Husband. Since the sole beneficiary is the surviving spouse, Husband may continue the contract as the new annuitant and owner.

May a trust be named the owner of an annuity?

Yes, if the beneficiary or beneficiaries of the trust are natural persons. In order to establish a trust as owner, the following documentation must be provided.

  1. Evidence that the trust exists. The attorney who drafted your trust should provide you with a Certificate of Trust or Affidavit of Trust that summarizes the information needed to issue and administer the annuity. If you do not have a Certificate of Trust or Affidavit of Trust, a photocopy of the first page and the signature page(s) of the trust document will generally provide acceptable evidence.
  2. The federal tax identification number of the trust. The trustee(s) of the trust must complete IRS Form W-9 (or a suitable facsimile) in order to provide this information. For revocable trusts, the federal tax identification number is often the living grantor’s social security number. Irrevocable trusts are usually required to obtain their own federal tax identification numbers from the IRS.
  3. Evidence of the name(s) of the trustee or trustees who is/are empowered to act under the terms of the trust. If the trust has multiple trustees, the Certificate of Trust or Affidavit of Trust usually describe whether the trustees can act singularly or must act together. If they do not, the page(s) of the trust document which stipulate whether the trustees can act on behalf of the trust singularly or must act together must also be provided.
    Usually, the trust should be the beneficiary of the annuity contract so that in the event of the annuitant’s death, the death benefit will be distributed in accordance with the provisions of the trust. However, the trustees of the trust and/or legal and tax advisors to the trust may have reasons for recommending someone else be named as the beneficiary. Therefore, we cannot be responsible for tax consequences caused by incorrect beneficiary designations: death benefits will be paid to the beneficiary on record on the annuity contract as of the date of the annuitant’s death.

What happens at the death of the annuitant on an annuity contract that is owned by a trust?

Under the terms of our annuity contracts currently being issued, because the owner is not a natural person, a new annuitant may not be chosen. Therefore, the accumulated value of the annuity contract is paid to the designated beneficiary of the contract. If the trust is the beneficiary, the accumulated value will be paid to the trustee(s) of the trust and the trust will distribute the proceeds in accordance with the terms of the trust document.

My living (revocable) trust is considered owner of my annuity contract. Does the 10% penalty for withdrawals apply if I am not yet 59½ years old?

The IRS regulation concerning premature withdrawals prior to age 59½ does apply and is based on the age of the beneficial owner of the trust.

Can a charity be considered an owner and beneficiary of an annuity?

Yes, as long as the annuitant is a natural person.

What information do you need for a charity to own my annuity?

Generally, we need the same information required for a corporation (below).

Can I just name a charity as the beneficiary of an annuity I own?

Yes. Most charities will provide you with their federal tax identification number upon request to ensure the funds are paid to the correct charity at your death. Some charities even list their federal tax identification numbers on their website.

May a retirement plan, such as a 401(k) or defined benefit plan, be owner of an annuity?

Yes, if the plan’s trust document includes annuities as an acceptable investment of plan assets. You must check with your trustee or your plan administrator to determine what is necessary to establish a retirement plan as owner of an annuity, and provide the additional documentation to the issuing insurance company.

  1. Evidence that the plan exists. A photocopy of the first page and the signature page(s) of the plan document will generally provide acceptable evidence. We will also accept a copy of the most recent Form 5500 or a copy of the Summary Plan Description.
  2. The federal tax identification number of the retirement plan. The trustee(s) of the trust or administrators of the plan must complete IRS Form W-9 (or a suitable facsimile) in order to provide this information unless the tax ID number is included in the documentation described in number (1), above.
  3. Evidence of the name(s) of the trustee or trustees or plan administrator who is/are empowered to act on behalf of the retirement plan. If the plan has multiple trustees or administrators, the page(s) of the trust document which stipulate whether the trustees or administrators can act on behalf of the trust or plan singularly or must act together must also be provided.
    The retirement plan should be beneficiary of the annuity contract so that in the event of death, the death benefit will be distributed according to the terms of the retirement plan. However, your legal and tax advisors may recommend a different strategy, so we cannot be responsible for tax consequences caused by incorrect beneficiary designations: death benefits will be paid to the beneficiary on record of the annuity as of the date of the annuitant’s death. Licensed insurance professionals appointed with our companies are not authorized to give legal or tax advice on our behalf.

What happens at the death of the annuitant on an annuity contract that is owned by a retirement plan?

Under the terms of our annuity contracts currently being issued, because the owner is not a natural person, a new annuitant may not be chosen. Therefore, the accumulated value of the annuity contract is paid to the designated beneficiary of the contract. If the retirement plan is the beneficiary, the accumulated value will be paid to the trustee(s) or plan administrator of the retirement plan, which will use the proceeds as required by the terms of the trust document.

May a corporation be the owner of an annuity contract?

A corporation may be named as owner of an annuity contract provided the following conditions are met:

  1. The annuitant is an officer, director, or key employee of the corporation,
  2. The corporation should be named as beneficiary of the contract to avoid any corporate payments that could cause unintended tax results, such as earned income or dividend payments,
  3. The corporation’s federal tax identification number is used for any and all reports made to the IRS,
  4. The application is signed by an officer of the corporation with their title included,
  5. A Corporate Owned Annuity Indemnity (form 7210-0209) is submitted with the application, and
  6. A corporate resolution or other similar document (a) identifying the individual signing on behalf of the corporation and (b) authorizing the purchase of the annuity is submitted with the application.
    What happens at the death of the annuitant on an annuity contract that is owned by a corporation?
    Under the terms of our annuity contracts currently being issued, because the owner is not a natural person, a new annuitant may not be chosen. Therefore, the accumulated value of the annuity contract is paid to the designated beneficiary of the contract. Since the corporation is the beneficiary, the accumulated value will be paid to the corporation, which may use the proceeds in the manner the corporation chooses. We cannot be responsible for tax consequences once death benefits are paid to the beneficiary of the contract on record as of the date of the annuitant’s death. Licensed insurance professionals appointed with our companies are not authorized to give legal or tax advice on our behalf.

How do I access my account information?

An annual statement of your account will be mailed to you. You may also contact our annuity customer service department at 800-745-4927 (toll free). Of course, your licensed insurance professional is always happy to help you.

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Life Insurance

What is life insurance?

Life insurance guarantees payment of a specified sum of money on the death of the insured person, pursuant to the terms of the life insurance coverage. The primary purpose of life insurance is to provide future economic self-assurance and security.

What is the cash surrender value?

The cash surrender value is the amount (stated in the policy) that is available in cash upon the surrender of a policy for cancellation before or after the policy matures.

How do I access my policy information?

Please contact our Policy Service Department at (800) 745-4927 for policy information. You will also receive an annual statement for each policy anniversary.

How do I report a death claim?

Please contact our Policy Service department at (800) 745-4927.

How do I change my beneficiary?

Please contact our Policy Service department at (800) 745-4927. Some service forms are also available on our Resources page.

How can I update my address?

Please contact our Policy Service department at (800) 745-4927. Some service forms are also available on our Resources page.

How much life insurance do I need?

Everyone’s life insurance needs vary depending on their standard of living, family obligations, financial obligations and accumulated wealth. A good “rule of thumb” for a married individual is to be insured for an amount equal to at least 8 times their annual income. However, the best way to determine your actual need is to meet with a licensed insurance professional and do a “needs analysis.”

How much insurance do I need for my final expenses?

This amount will differ depending on where you live, your wishes regarding cremation and burial, and the funeral merchandise, service and options you choose.

What is “accelerated death benefit”?

This is a benefit that can be added to certain life policies that will prepay a portion of the death benefit in case of a particular critical illness such as heart attack, stroke, life-threatening cancer, by-pass surgery, organ transplant, Alzheimer’s, etc. It is money made available to you when it is most needed.

What is “no-loss term”?

This is a type of term product that returns all of the premiums paid, by way of a reduced paid-up policy, when the insured outlives the term period.

What is term insurance?

While there are many styles of term insurance, a term life insurance policy is generally a contract that furnishes life insurance protection for a limited time described in the policy. The face amount of the policy is payable only if death occurs during the time stipulated in the contract. If death occurs after the “term” of coverage expires, no benefit is payable.

What is whole life insurance?

There are many varieties of whole life insurance, but its primary feature is permanency. In contrast to term insurance, a whole life insurance policy pays the death benefit stipulated in the contract upon the death of the insured. Whole life insurance usually provides for the payment of a cash surrender value in the event the need for insurance changes and the owner elects to cancel the policy.

Is a life insurance benefit taxable to a beneficiary?

As a general rule, death proceeds are excluded from the beneficiary’s gross income. The proceeds are received income tax free by the beneficiary regardless of whether the beneficiary is an individual, a corporation, a trustee, or the insured’s estate. In order for the death proceeds to be fully excluded from the beneficiary’s gross income, the life insurance contract must meet the provisions of applicable state law and the definition of life insurance found in the Internal Revenue Code.

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Pre-Need

What are the advantages of Pre-Arrangement?

Pre-Arrangement helps relieve your loved ones of the emotional burden of having to make certain choices at the time of need. Pre-Arrangement can guarantee that your family will not be affected by future inflation of funerals by locking in the cost of the funeral to today’s prices. Pre-Arrangement allows for personal choice.

What if I relocate? Can I transfer my Pre-Arrangement?

Pre-Arrangements can be transferred to any Funeral Home.

How affordable is Pre-Arrangement?

We offer a variety of payment plans that will fit almost any budget.

What if I am not in good health?

We offer products for funding Pre-Arrangement regardless of health.

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Find the right plan for you

Just reach out with the form below or give us a call at 800-731-4300.

A licensed insurance professional may contact you regarding this insurance related information request.