Even though it’s still cold in a lot of places, fixed annuities are having their day in the sun. Now with higher guaranteed returns, we are witnessing a serious increase in premium transferring to these safe, secure products.
As we watch interest rates climb, it becomes apparent that the markets are reacting to it. Clients with market gains may need to diversify sooner than later and this is the time to feature the strength of insurance companies’ deferred annuities. Advisors should urge their clients to move a portion of their money to Multi-Year Guarantee Annuities.
The best 5-year MYGA product is with Sentinel Security Life. 3.50% interest is guaranteed for 5 years in most states. (3.4% in CA and FL, 3.2% in MN) A generous commission of % is paid through age 80, issued to 90.
Another short-term fixed annuity to review is EquiTrust’s ChoiceFour. 4.00% first year rate, 2.50% base renewal rate, 6-year surrender and % commission ages 0-80, issued through age 85. Plus, an additional $500 commission special for March, directly from EquiTrust. (Click here for details)
As we watch the annuity arena and post changes on this site, it’s to your advantage to keep abreast of the rate environment. Visit often and you’ll see the latest products approved in your state. Also, if you are not receiving our email notifications, please check your junk folder and mark our emails as “Not Junk.”
Ronald J. Lane