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Immediate Benefit Accounts

Navigating emotional and financial decisions after the loss of a loved one can feel overwhelming. As a beneficiary, take time to decide what to do with your life insurance or annuity benefit — while protecting and growing your funds — with an Immediate Benefit Account (IBA).

What is an IBA?

An IBA is an interest-bearing draft account. It offers easy and immediate access to your benefit funds and the opportunity to earn interest while you plan your financial decisions.
Flexible payment options

Choose from several settlement options for receiving your benefit funds:

  • Lump sum check
  • IBA for immediate access
  • Split your funds between the two options
Checking account features

Similar to a checking account, our IBA offers:

  • Free checks
  • Regular account reports and an online account to view and manage your funds
  • Competitive interest rate of 0.7%¹ and insurer-declared additional interest
Secure access to your funds

An IBA helps ensure your funds are:

  • Easily managed until you're ready to use them
  • Always accessible
  • Protected by state guaranty funds²

How an IBA works

Explore the advantages of an IBA so you can feel more comfortable using your benefit funds.
Already have a Protective IBA?
You can review and make changes to your existing IBA by accessing your online account. If you have questions, please call IBA customer service at 1-866-412-2071.
A man using a laptop to access his Protective Immediate Benefit Account online.

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 You won’t be able to redeposit money after it has been withdrawn or deposit funds into your IBA.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.

¹ The Annual Percentage Yield (APY) as advertised is accurate as of December 1, 2023. Interest rate and APY are subject to change without notice at any time before and after an Immediate Benefit Account is opened.
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 ( to learn more about cover age limitations applicable to your Account. For further information, please contact your State Department of Insurance (

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.