Lincoln Financial Group Responds To Advisor and Consumer Needs With Innovative Life Insurance Product Tied To 10-Year Treasury Note

Tue Mar 5, 2013 8:00am EST

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Opportunity to Improve Coverage Over Time
RADNOR, Pa.,  March 5, 2013  /PRNewswire/ -- Lincoln Financial Group (NYSE: LNC)
today announced the introduction of its  Lincoln Treasury Indexed Universal Life
(IUL)  solution designed to capture the benefits of a potential rise in interest
rates. This innovative solution provides an affordable, baseline death benefit,
with the flexibility to improve and customize coverage over time based on the
performance of the 10-year Treasury yield¹.  

"The highly-watched 10-year Treasury yield remains historically low, making this
a difficult market environment for policyholders seeking guaranteed sources of
investment return," said  Ellen Cooper, chief investment officer for Lincoln
Financial Group. "That being said, we believe launching a protection product
dynamically tied to this key benchmark reinforces the importance of offering
solutions that meet our clients' objectives in current and future market
environments. The Federal Reserve is likely to remain accommodative with the
knock-on effect of interest rates remaining artificially low until the economy
shows consistent positive momentum."

"Lincoln Treasury IUL  is an alternative to many traditional guaranteed
solutions which are experiencing pricing pressures based on today's low interest
rate environment," said  Mike Burns, senior vice president, Insurance Solutions,
Lincoln Financial Group. "It's designed to provide advisors and clients who
believe rates eventually will rise, with an opportunity to secure affordable
levels of guaranteed coverage today, and to cost-effectively extend that
coverage or reduce out of pocket premiums over time by capturing a potential
Treasury 'upswing' in the future. Life insurance can be a powerful tool in
helping to protect a family and create a legacy, and  Lincoln  continues to
diversify its product portfolio to ensure clients have access to the solutions
they may need, regardless of the economic climate."

Lincoln Treasury Indexed UL policyholders choose their initial duration of
guaranteed coverage at issue, and receive a guaranteed schedule of earned credit
factors that correspond to different levels of 10-year Treasury yields. With
scheduled premiums paid on time, policyholders can: apply the credits as a
Premium Election to either extend coverage beyond the initial coverage duration
or reduce out-of-pocket premiums for the initial coverage duration; withdraw the
credits as cash; or, leave the credits in the policy account value (in all years
except year 1)2.

"Advisors are more than ever looking for low cost, death benefit solutions to
address a range of interest rate risk and tax issues," said  Tom Tooley, head of
Insurance Solutions for Lincoln Financial Distributors. "The uncertainty in
today's environment underscores the importance of taking advantage of some of
the options available in the marketplace.  Lincoln  is diligently working with
advisors to make certain they have all the alternatives available to effectively
help their clients make smart long-term asset protection and wealth transfer

More About The Lincoln Treasury IUL

Policy owners receive a "Credit" in every policy year. The credit in the first 5
years will be, at a minimum, set to the credit generated by a 4 percent 10-year
Treasury yield, even if interest rates are not that high. In years 6 and beyond,
the size of the credit grows in any year that the 10-year Treasury yield meets
or exceeds 2 percent3. Once the credit in any year is earned, it becomes vested
and will continue to be paid in every future year that the policy is in force.  

Lincoln Treasury IUL  is now available in many states to  Lincoln's network of
distribution partners.  

Lincoln Treasury Indexed UL is issued on policy form UL5072 and state variations
by The Lincoln National Life Insurance Company,  Fort Wayne, IN, and distributed
by Lincoln Financial Distributors, Inc., a broker/dealer.  The Lincoln National
Life Insurance Company does not solicit business in the state of  New York, nor
is it authorized to do so.

All guarantees and benefits of the insurance policy are subject to the
claims-paying ability of the issuing insurance company.  They are not backed by
the broker/dealer and/or insurance agency selling the policy, or any affiliates
of those entities other than the issuing company affiliates, and none makes any
representations or guarantees regarding the claims-paying ability of the issuer.

Products, riders and features are subject to state availability. Limitations and
exclusions may apply. Not available in  New York.

Duration is the number of years the life insurance policy will be in effect.

U.S. Treasury securities are negotiable debt obligations issued by the U.S.
government and backed by its full faith and credit. This product is not backed
by the U.S. Treasury or any government entity. The 10-year constant maturity
Treasury Note nominal yield is the rate used by the U.S. Treasury Department
that represents a daily determination of what the yield on the note would be if
it were issued on that day.

About Lincoln Financial Group
Lincoln Financial Group is the marketing name for Lincoln National Corporation
(NYSE: LNC) and its affiliates. With headquarters in the  Philadelphia  region,
the companies of Lincoln Financial Group had assets under management of  $178
billion  as of  December 31, 2012. Through its affiliated companies, Lincoln
Financial Group offers: annuities; life, group life, disability and dental
insurance; 401(k) and 403(b) plans; savings plans; and comprehensive financial
planning and advisory services. For more information, including a copy of our
most recent SEC reports containing our balance sheets, please visit

1Based on the 10-Year Constant Maturity Treasury Note nominal yield published by
the Federal Reserve Board. This yield is referred to as the 10-year Treasury
yield in this material. 2The withdrawal and policy value elections will not
extend the policy guarantees. 3Actual performance of the 10-year Treasury yield
is not guaranteed.


SOURCE  Lincoln Financial Group

Jay Russo, Lincoln Financial Group, +1-860-466-1324,, or Eric
Samansky, Lincoln Financial Distributors, +1-484-583-1431,

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