This material does not constitute tax, legal, investment or accounting advice and is not intended for use by a taxpayer for the purposes of avoiding any IRS penalty.   Comments on taxation are based on tax law current as of the time we produced the material. All information and materials provided by John Hancock are to support the marketing and sale of our products and services, and are not intended to be impartial advice or recommendations. John Hancock and its representatives will receive compensation from such sales or services.  Anyone interested in these transactions or topics may want to seek advice based on his or her particular circumstances from independent advisors.

Loans and withdrawals will reduce the death benefit, cash surrender value, and may cause the policy to lapse. Lapse or surrender of a policy with a loan may cause the recognition of taxable income. Policies classified as modified endowment contracts may be subject to tax when a loan or withdrawal is made.  A federal tax penalty of 10% may also apply if the loan or withdrawal is taken prior to age 59 1/2.

Life insurance death benefit proceeds are generally excludable from the beneficiary’s gross income for income tax purposes.  There are few exceptions such as when a life insurance policy has been transferred for valuable consideration.

Vitality is the provider of the John Hancock Vitality Program in connection with policies issued by John Hancock.