NASSAU SALES NEWS
We are changing the policy dividend scale for all “closed block” participating policies purchased before the June 2001 demutualization of Phoenix Life Insurance Company (now Nassau Life Insurance Company), effective January 1, 2025. Our decision reflects consideration of several factors, including historical performance and future expectations.
The 2025 scale will incorporate a dividend interest rate reduction of 0.35% (35 bps) across all products. The average dividend interest rate will be 4.55% in 2025, with a policyholder’s actual dividend interest rate subject to specific policy terms.
Most policyholders will see a decrease to the dividend paid in 2025 compared to the dividend paid in 2024. However, a policy’s 2025 dividend will be at least equal to 75% of the 2024 dividend prior to loan adjustments. In some cases, growth in the value of the policy may offset the dividend interest rate reduction.
As always, the amount of dividend paid is based on a number of factors including product type, age at issue, length of time the policy has been in force, gender, and health when the policy was issued. In addition to the dividend interest rate, some policyholders may see a change for reasons including mortality, loan balances or loan interest rates that affect the size of the dividend paid.
We are also making similar changes to the dividend scale for the small number of participating policies in the “open block” (purchased after demutualization).
Please note that when we changed the name of Phoenix Life Insurance Company to Nassau Life Insurance Company, the company name is the only thing that changed. All policy terms, including terms and conditions for dividend-eligible policies, remain the same, and the closed block continues to be managed in accordance with the original Plan of Demutualization.
If you have any questions, please contact the Nassau Service Center Team at 1-800-628-1936.
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