Prudential Insurance

By: Research Team

Overview

Prudential Financial, Inc is an American Fortune Global 500 company that was founded in Newark, New Jersey in 1875 by John F. Dryden. The products and services they offer include life insurance, annuities, retirement-related services, securities brokerage services, mutual funds, and investment management. Their focus on insurance, investment management, and other financial products and services are for both retail and institutional customers.

Size & Operation

Prudential Financial has over $1.7 trillion in assets under management now and aover $4 trillion of gross life insurance in force worldwide now according to its company fact sheet (Prudential Financial, 2021). It has over 41,000 employees and sales associates and operates through its subsidiaries to serve institutional and individual customers in more than 40 countries. Prudential Financial, Inc Common Stock has traded on the New York Stock Exchange under the symbol “PRU” since 2001.

Products & Services

Life Insurance Product

Q: What life insurance does Prudential Financial offer to individuals?

Prudential Financial offers term life insurance, universal life insurance, indexed universal life insurance and variable life insurance for individuals as listed below.

Term Life Insurance

Term life insurance guarantees payment of a stated death benefit to the insured’s beneficiaries if the insured person dies during a specified term. Prudential’s term life policies are priced with competitive rates and are designed to be flexible when life changes.

SimplyTerm (Only Death Benefit+Business)

SimplyTerm is affordable coverage that can be purchased through a fully digital process making it straightforward to protect the people you love. The death benefit from this product can be used for any purpose. There are no restrictions.

Term Essential

Term Essential can help ensure that your loved ones can carry on after you’re gone. The death benefit they receive can be used for any purpose. There are no restrictions.

Term Elite

This product provides coverage that is similar to Term Essential, and comes with a few extras. For example, if you choose to convert to a permanent policy within the first five years, you will receive credit on your first-year premium. This can help make the transition from term to permanent coverage a bit easier.

PruTerm One

PruTerm One is unlike a lot of policies because it offers coverage one year at a time.

PruTerm One may be an ideal solution if you are a small-business owner who is paying off a short-term loan. This policy is both convenient and cost-effective because you’re not paying for long-term coverage that you don’t need. It may also be a good option for certain advanced planning situations.

Universal Life Insurance

Universal life (UL) insurance is a form of permanent life insurance with an investment savings element plus low premiums, which can accumulate cash value. Each of Prudential’s UL can provide optional features, called riders, to tailor the policy to best meet consumers’ needs.

PruLife Essential UL

PruLife Essential UL can help you do just that. It provides a death benefit for your loved ones.

PruLife Essential UL also has features that are designed for you to use while you’re living. These benefits include cash value accumulation and access to optional living benefits.

PruLife-SUL Protector

SUL Protector covers two lives and will pay a death benefit when the second insured dies. The policy has a death benefit guarantee like UL Protector. It can be used to help protect and pass on your wealth to your heirs or a charity with a generally tax-free benefit (according to IRC §101(a)). This type of policy can be used in other ways too, like within estate planning.

Indexed Universal Life Insurance

Indexed universal life (IUL) insurance lets the policyholder decide how much cash value to assign to either a fixed account or an equity-indexed account, which offers a number of well-known indexes, such as the S&P 500 or the Nasdaq-100. Prudential offers three policies with flexible premium payments.

PruLife® Founders Plus UL

This policy lets you keep the insurance protection you need safe for as long as you need it. You can do this with an adjustable guarantee against lapse.

Your policy can build cash value. This is money you can use for anything you choose.

1)A common use is extra money during retirement. This policy also offers a rider that can accelerate the death benefit if you become seriously ill.

2) Interest-crediting options help to build cash value:

One is based on a fixed, declared interest rate (basic interest).
The other is based on the performance of the S&P 500® Index and offers more growth potential. This option does not include dividends. It has a floor of 0% to protect against losses and a cap that limits the amount of interest that can be credited. Please note that policy features vary by state.
PruLife Index Advantage UL®

The indexed policies potential to build cash value. You may be able to use this money for extra income when you retire.

You can keep the life insurance protection you need safe for up to 20 years with a guarantee against lapse. Plus it offers a rider that can accelerate the death benefit if you become seriously ill.

Interest-crediting options can help build cash value:
It can be based on a fixed declared interest rate or based on the performance of the S&P 500® Index. These do not include dividends. Each has a floor of 0% to protect against losses and a different cap. They have other features that can make it possible to credit more based on different market environments.

PruLife® Survivorship Index UL

This policy covers two people; it pays the death benefit when both have died. It’s designed to help you grow and protect a legacy for your heirs.

This policy has the potential to build cash value. It has a modest guaranteed minimum interest rate. An adjustable guarantee against lapse can also help you ensure the policy stays in effect.

Variable Life Insurance

Variable universal life is a type of permanent life insurance policy with features: cash value, investment variety, flexible premiums and a flexible death benefit.

VUL Protector®

This policy focuses on protection with moderate risk in pursuit of moderate returns for the cash value. Regardless of whether the cash value goes up or down, this policy offers a No-Lapse Guarantee. It can help keep your life insurance in place for your family. This policy offers no-lapse guarantee options that can last for the rest of your life, if you so choose.

PruLife® Custom Premier II

You may want this policy if you have a need for protection and your focus is on long-term growth. This may be right for you if you can take on a higher level of risk for the potential of higher returns.

In the early years, your policy may not have enough value to take on any downturns in the underlying investment options. So, this policy offers two No-Lapse Guarantee Periods. They’re designed to give you protection from lapse in the early years of the policy.

Short Term – For ages 0 – 59 years, it’s 8 years. For ages 60+, it’s 6 years.
Limited – For all ages, the period is the greater of 10 years or age 75.

PruLife® SVUL ProtectorSM

This policy covers the lives of two people, paying the death benefit after both have died. With this policy, you take on investment risk for the possibility of higher returns. The amount of risk and potential reward depend on the underlying investment options you select.

This policy offers a No-Lapse Guarantee. Regardless of whether the cash value goes up or down, the guarantee can help keep your life insurance in place.

Q: What life insurance does Prudential Financial offer to employers?

For employers, Prudential Financial has life insurance products as follows.

Group Term Life Insurance

Group Term Life Insurance helps employees protect their loved ones from the financial impact of premature death.

Employer-paid Basic Term Life
Employee-paid Optional Term Life
Spouse/domestic partner and dependent coverage
Enhance your ancillary services like EAP, estate guidance, ID theft protection, and travel assistance.

Group Universal Life Insurance

Universal Life Insurance provides permanent insurance protection with the ability to build cash value on a tax-deferred basis.

Group Universal Life (GUL) offers a fixed interest rate with a guaranteed minimum
Group Variable Universal Life (GVUL) offers a fixed rate and a wide range of investment options, so employees can take advantage of market gains
Executive GVUL allows for coverage “carve outs” to meet executives’ specific needs

Retirement Products

Q: What retirement products does Prudential Financial offer to individuals?

For individuals, Prudential Financial provides 401k Rollover Options and following products.

Prudential 401(k)
Prudential IRA
SmartSolution IRA (SSIRA)

Prudential’s SSIRA’s unique features and investment options are designed to help participants improve their ﬁnancial wellness and build a more secure ﬁnancial future.

Brokerage IRA

The brokerage customers have access to a wide variety of investments, such as stocks, corporate and government bonds and mutual funds, that can help them save for retirement.

Q: What annuities does Prudential Financial offer to individuals?

For individuals, Prudential Financial provides variable, fixed indexed and fixed annuities with guaranteed lifetime withdrawal benefits as below.

Variable Annuities

Prudential Premier Investment Variable Annuity

Prudential Premier Investment Variable Annuity® offers growth efficiencies and a full range of investment options

Prudential FlexGuard indexed variable annuity

Prudential FlexGuard® indexed variable annuity can be customized based on your unique needs. It’s like building your own annuity.

MyRock Variable Annuity

MyRock℠ offers an optional income benefit that can evolve as your needs change.

Fixed Indexed Annuities

PruSecure Fixed Indexed Annuity

PruSecure® Fixed Indexed Annuity offers you guaranteed protection against market loss and the opportunity to grow your money.

SurePath Income Fixed Indexed Annuity

SurePath℠ Income Fixed Indexed Annuity protects your lifetime income investment during market downturns while oﬀering growth opportunities.

All products and/or options may not be available with all broker-dealers.

Fixed Indexed Annuities available through Independent Marketing Organizations

SurePath Fixed Indexed Annuity

SurePath℠ Fixed Indexed Annuity oﬀers both protection from market volatility and opportunity for growth.

SurePath Income Fixed Indexed Annuity

SurePath℠ Income Fixed Indexed Annuity protects your lifetime income investment during market downturns while oﬀering growth opportunities.

Fixed Annuities with Guaranteed Lifetime Withdrawal Benefits

Prudential Fixed Annuity with Daily Advantage Income Benefit

Prudential Fixed Annuity with Daily Advantage Income Benefit℠ provides guaranteed DAILY growth of future income regardless of market performance, without sacrificing the flexibility to adapt as your needs change.

Q: What retirement services does Prudential Financial offer to employers?

Defined Contribution

Prudential offers full-service Defined Contribution plans for corporations and tax-exempt organizations. Prudential works with plan sponsors and their advisors to provide:

Fiduciary risk management
State-of-the-art recordkeeping
Administrative services
Target-date solutions
In-plan guaranteed income
Investment management
Participant investment education and communications
Financial wellness solutions
Trustee services
Guidance on compliance and regulatory issues

Defined Benefit

Prudential has a dedicated staff of top-notch professionals that have specialty in:

Investment services and consulting
Compliance reporting
Actuarial services and consulting
Benefit payments processing
Participant education and communications
Pension risk transfer and DB closeout consultation

Nonqualified Plans

Nonqualified Deferred Compensation (NQDC) Plans are an effective benefit to attract and retain the executives who are critical to your company’s growth and success. These valuable programs help highly compensated employees overcome the contribution ceilings that are imposed on qualified retirement plans.

Prudential Retirement is a leading provider of nonqualified plans, with offerings that include:

Plan design and financing consultative expertise, including analysis of various informal funding mechanisms with an open-architecture approach
A dedicated client service team with nonqualified plan experience and knowledge as well as specialized staff that provides regulatory/legislative support, guidance and updates
Robust and flexible system capabilities for recordkeeping, reporting and online access that support a wide array of plan design configurations
Participant education and communication tailored to the executive audience

In-Plan Guaranteed Retirement Income

A cutting-edge solution which brings an in-plan retirement income option to participants, Prudential IncomeFlex® Target provides the security of guaranteed lifetime income with flexibility and control. IncomeFlex® Target includes:

Guarantees a participant will have withdrawals for life—even if the account balance is depleted
Protects future retirement income against potential market downturns

Increases the ability to retain assets in the plan as participants retire

Diverse Investment Solutions for Retirement Plans

Prudential provides access and flexibility along with expert oversight, depth of experience and a strong heritage of risk management.The extensive investment platform provides open architecture by bringing together a powerful combination of mutual funds, institutional sub-advised funds through our Manager of Managers product, and leading stable value investments. This flexibility allows you to easily meet your investment policy statement and 404(c) requirements

More than 1,000 mutual funds and 50 institutional sub-advised funds.
Due Diligence Advisor program exclusive to the Manager of Managers product that provides fiduciary protection for sponsors within the guidelines of ERISA.
Thousands of exchange-traded stocks, bonds, and mutual funds to choose from in a Self-Directed Brokerage Account
GoalMaker®, a customized target date solution creates a portfolio personalized to a participant’s years to retirement, risk tolerance, and, with Income Flex® Target SM, their desire for guaranteed income to provide asset allocation guidance throughout the accumulation and retirement years. Portfolios are developed in partnership with Morningstar Associates. GoalMaker meets the requirements for a qualified default investment alternative (QDIA)
Leading stable value investments that provide stability to any investment offerings

Institutional Products

Q: What institutional products does Prudential Financial offer?

Prudential Financial institutional products are provided by PGIM Investment and risk transfer.

For PGIM, it has products for mutual funds, ETFs, target date funds, closed-end funds and separately managed accounts.

PGIM Investment (The US)

Mutual Funds

PGIM Total Return Bond Fund
PGIM High Yield Fund
PGIM Short Duration Multi-sector Bond Fund
PGIM Jennison Global Opportunities Fund
PGIM Jennison International Opportunities Fund
PGIM Jennison Focused Growth Fund

ETFs

PGIM Active High Yield Bond ETF
PGIM Ultra Short Bond ETF
PGIM QMA Strategic Alpha International Equity ETF
PGIM QMA Strategic Alpha Large Cap Core ETF
PGIM QMA Strategic Alpha Small-cap Growth ETF
PGIM QMA Strategic Alpha Small-cap Value ETF

Target Date Funds

Prudential Day One 2065
Prudential Day One 2050

Closed-End Funds

PGIM Global High Yield Fund, Inc. (GHY)
PGIM High Yield Bond Fund, Inc. (ISD)
PGIM Short Duration High Yield Opportunities Fund (SDHY)
PGIM GLOBAL HIGH YIELD FUND, INC. (GHY)
PGIM HIGH YIELD BOND FUND, INC. (ISD)
PGIM SHORT DURATION HIGH YIELD OPPORTUNITIES FUND (SDHY)

Separately Managed Accounts

Jennison Global Equity Opportunities
Jennison International Equity Opportunities
Jennison Large Cap Blend Equity
Jennison Focused Large Cap Growth Equity

The risk transfer covers pension risk transfer services, international reinsurance, and retiree medical risk transfer.

Risk Transfer

Pension Risk Transfer

Longevity risk transfer for pension funds

International Reinsurance

Reinsurance for insurers

Reinsurance of buy-ins and buy-outs

Reinsurance of personal pensions

Flow reinsurance

Funded reinsurance

Retiree Medical Risk Transfer

Prudential’s Retiree Medical Risk Transfer (MRT) Buy-in

Corporate Risk Transfer

Prudential’s Traditional Buy-out

The group annuity contract issued by The Prudential Insurance Company of America and are deposited in PICA’s general account. Any payment obligations or guarantees are contingent on the claims-paying ability of PICA.

Prudential’s Portfolio Protected Buy-out

The group annuity contract issued by PICA is contributed to the contract that is deposited in a separate account established by PICA. Payment obligations speciﬁed in the group annuity contract are insurance claims supported by the assets in the separate account and, if such assets are not sufficient.

Prudential’s Portfolio Protected Buy-in

Group Benefits Products

Q: What group benefits services do Prudential Financial offer?

For advisors, Prudential Financial has the following solutions and services.

Loss of Income Due to Illness or Injury

Basic & Voluntary
Short Term Disability (STD)
Basic & Voluntary Long Term Disability (LTD)
Absence Management
Return to Work Services
State-Mandated Disability Plans

Out-of-Pocket Medical and Non-Medical Expenses Related to Injury or Severe Illness

Accident

Critical Illness

Premature or Accidental Death

Basic & Dependent Term Life
Optional Life & Dependent Life
Basic & Voluntary AD&D
Retiree Life Buyout
Business Travel Accident
Group Universal Life
Group Variable Universal Life
Voluntary Retiree Reducing Term

For employers, Prudential Financial offers Group benefit Insurance for employee which includes the following:

Prudential also partners with Association and Affinity groups to provide solutions for the following:

Insurance

Term Life
Group Universal Life
Group Variable Universal Life
Level Premium Group Term Life
Individual Life Insurance
Accidental Death and Dismemberment (AD&D)

Income Protection

Long Term Disability (LTD)
Business Overhead Expense Disability

Supplemental Protection

Accident
Critical Illness
Hospital Indemnity

Ratings & Reviews

Ratings

Q: What are the ratings for Prudential Financial?

As of 2th February Prudential Financial received ratings for financial strength and credit from A.M. Best, Standard & Poor’s, Moody’s and Fitch as below.

(sources: https://www.investor.prudential.com/ratings/default.aspx)

Reviews

Q: What are the reviews for Prudential Financial?

Prudential Financial was rated 4 stars out of 5 by NerdWallet.

Prudential is the first major U.S. life insurer to offer coverage to people with HIV.

Prudential was rated 4 stars based on 302 ratings submitted in the last year from ConsumerAffairs

Conclusion

When assessing the needs for your risk management and insurance needs for your business Lions Financial works with highly rated insurance companies to make sure your financial assets are secure. As an independent company Lions Financial works with products and services from companies like Prudential Financial. We focus on industries such as automotive, trucking, commercial real estate, hospitality, retail & e-tail, financial services, bio-pharmaceuticals, healthcare, marketing, advertising, engineering, and renewable energy companies.

To find out more about how we can help you contact us https://lions.financial/contact/

If you would like to learn more about additional risk management services visit: https://lions.financial/services/business-advisory-employee-benefits/

https://lions.financial/services/business-advisory-deferred-compensation/

https://lions.financial/services-risk-management/

As a financial services firm Lions Financial focuses on helping businesses address their risk management considerations through consulting and implementation of insurance products. We have put together an overview of Prudential Financial, the life insurance company, to provide clarity on the solutions they offer and identify how they meet the needs and expectations facing businesses today. We will provide an overview of Company, Size & Operation Products & Services, Life Insurance Product Business Insurance Product Retirement Product,Annuities, Retirement Business Products, Institutional Products, Group Benefits Ratings & Reviews: Ratings, and Reviews.

The sources we use for this information include:

Prudential Financial: https://www.prudential.com

https://news.prudential.com/presskits/prudential-financial-fact-sheet.htm

https://www.nerdwallet.com/blog/insurance/reviews/prudential-life-insurance-review/

https://www.consumeraffairs.com/insurance/prudential_life.html