Immediate Benefit Accounts
What is an IBA?
How an IBA works
IBA frequently asked questions
An IBA gives you time to plan your financial decisions while earning interest on your benefit funds, along with these benefits:
- Your funds are available immediately, so there's no need to wait for a lump sum to clear your bank.
- The interest rate on an IBA is typically higher than interest-bearing checking accounts.
- You can easily access your benefit to pay for expenses, or save and grow your funds for the future.
There are no costs with an IBA — including no maintenance fees and no charges for withdrawals or drafts.
No, the funds in your IBA are only from the payment of a life insurance or annuity claim. You won’t be able to redeposit money after it has been withdrawn or deposit funds into your IBA.
Yes, you can use your IBA for ACH and digital payment methods. Check with your digital payment tool (for example, PayPal or Venmo) for any limitations.
Still have questions?
Protective has been protecting people for more than 110 years. Today, we continue to provide the sense of security everyone deserves through life insurance, asset protection and retirement products.
² Policies must meet coverage requirements and are currently limited to $300,000 per insured life.
Under the Immediate Benefit Account, the Account balance will earn interest that compounds daily and helps your money work for you. The interest rate will be adjusted periodically. The interest rate credited to your Account is not related to the rate of return on the assets of Protective’s general account. The Account will be backed by the claims-paying ability of the company (or its successor) that issued your contract.
The Account is not insured or guaranteed by the FDIC or any other government agency, but is guaranteed by your State Guaranty Association. Contact the National Organization of Life and Health Insurance Guaranty Associations (nolhga.com) to learn more about cover age limitations applicable to your Account. For further information, please contact your State Department of Insurance (naic.org/state_web_map.htm).
In the event there is no activity (i.e., withdrawals) on your Account within any one (1) year period, we will attempt to contact you at your last known address in order to discuss the Account and any options available to you. In addition, other available settlement options are preserved and may be used until the entire balance is withdrawn or the balance falls below $5000.
A spouse, and other similar terms, will include a bona fide domestic partner in states that afford legal recognition to same-sex Civil Unions.
Immediate Benefit Accounts are available to select beneficiaries of Protective Life Insurance Company, Protective Life & Annuity Insurance Company, The Lincoln National Life Insurance Company for which Protective serves as Administrator, MONY Life Insurance Company and West Coast Life Insurance Company, which are affiliates of Protective, as well as select beneficiaries of Equitable Financial Life Insurance Company of America and Zurich American Life Insurance Company for which Protective Life Insurance Company serves as administrator. Protective and Protective Life, wherever used, refer to any or all of these companies.
Protective Life Insurance Company, Protective Life & Annuity Insurance Company and West Coast Life Insurance Company are located in Birmingham, AL; MONY Life Insurance Company is located in Syracuse, NY; and, each is solely responsible for the financial obligations accruing under the products it issues.
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