Protection from Market Ups and Downs
When you choose a fixed deferred annuity, you’ll be protected against the effects of market fluctuations. Your principal is protected and will grow in value, provided you don’t make withdrawals.
Guaranteed Fixed Interest Rates1
Fixed deferred annuities lock in a specified interest rate during the contract accumulation period (the period before annuity payments begin).
The money within your contract grows slowly and steadily over time.
In addition to earning a fixed rate of interest, the money within a fixed deferred annuity contract grows free from current income taxes. The value of the money in your annuity increases as your principal earns interest, and as the interest on that principal compounds. You generally don’t have to pay taxes on the money in your contract until you make a withdrawal.
The owner of a fixed deferred annuity contract chooses the income option that meets his or her needs. Available income options can provide guaranteed income for life, for a specific period of time, or for a combination of both2.