Share the Top Reasons to Buy a Fixed Annuity

October 1, 2020
Photo of building blocks with the number 10

There are many good reasons to buy a fixed annuity. Do you know the top 10?

  1. Multiple Guarantees
    • Principal and interest rate guarantees
    • Income guaranteed for as long as your client chooses — for a certain period or for life 
  2. Control
    • ​​Ability to choose a predictable income stream
    • Payments guaranteed to continue for as long as your client lives 
  3. Safety
    • ​​Helps to ensure the surviving spouse has a continuing income
    • Funds can be accessed with no surrender charges in the event of a terminal illness or upon entering a nursing home* 
  4. Tax deferral
    • ​​Earnings won’t be taxed until your client makes withdrawals or starts taking regular distributions
    • Benefit from triple-compounding: earn interest on principal, interest on interest, and interest on what would have been paid to taxes 
  5. Flexibility
    • ​​Multi-year rate guarantee products
    • Variety of contribution and payout options 
  6. Estate planning
    • ​​Proceeds are paid directly to the named beneficiary
    • May avoid the delay and expense of probate 
  7. Diversification
    • ​​Deferred index annuities can tie credited interest to an index, without downside risk
    • Supplement retirement income 
  8. Accumulation
    • ​​Long-term savings plan for future income stream
    • Principal protection: Deferred index annuities never lose value in a “bad” year, while capturing some growth in a “good” year 
  9. Access
    • ​​Flexible access to funds with a variety of surrender-charge free withdrawal option 
  10. No sales charges
    • ​​100% of premium can earn interest

 

Use This Sales Idea

Download this flyer to share the top 10 reasons with your clients.


Top Ten Reasons to Buy a Fixed Annuity

 

* The nursing home and terminal condition waivers may not be available in all states and may only apply after the first contract year.

Annuities are not (a) insured by the FDIC or any federal government agency, (b) deposits of or guaranteed by any bank or credit union and (c) a provision or condition of any bank or credit union activity. Some annuities are subject to investment risk and may lose value. A surrender charge may apply during the surrender period, and a 10% penalty may apply to withdrawals prior to age 59½.

 

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