Show Clients How to Maximize Income

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Share with your clients this client approved hypothetical case study on the new Lifetime Income Choice’s Max Income Option.1  

Max Income Option Provides: 

  • Up to 7.25% (ages 72+, single life) as initial income2
  • Guaranteed 5.50% income credits3
  • Flexibility in coverage and taking income4
Case Study

1 Lifetime Income Choice is automatically included at contract issue in select annuities for an annual fee of 1.10% of the Income Base.

2 The initial Maximum Annual Withdrawal Percentage (MAWP) under Max Income ranges from 2.60% to 7.25%, depending on the number of individuals covered, their age at the time of activation and whether or not the contract value has been depleted. The maximum withdrawal rates remain in effect until the contract value is depleted, after which the Protected Income Payment Percentage (PIPP) of up to 4.00% will be paid for life. The name, Max Income, does not imply that it will provide more cumulative income than the other available Level Income option.
 

3 The Income Base is the amount on which lifetime withdrawals are based. It is not a part of the contract value and cannot be withdrawn partially or in a lump sum. The Income Base is initially equal to the first eligible premium and is increased each time an eligible premium is made. It is also adjusted for withdrawals (prior to activation) and excess withdrawals (after activation). On each contract anniversary, your Income Baes may increase with any available income credits.
 

4 Lifetime Income Choice offers clients the flexibility to change coverage to single or joint life at the time of activation and for specific life events, such as marriage or divorce. Clients can take pre-activation withdrawals without eliminating the income credit rate or locking in their withdrawal rate for life. The selection of income option cannot be changed after the contract has been issued. Pre-activation withdrawals and excess withdrawals after activation will reduce the rider’s benefits. Restrictions and limitations apply. See the Owner Acknowledgment and Disclosure Statement for details.