Rates as of 12/01/2025

 Let's start with a product built on simplicity and safety: the Multi-Year Guaranteed Annuity, or MYGA. Think of a MYGA as an insurance company's version of a bank CD, but with a crucial advantage: tax deferral. Your interest grows without being taxed annually, allowing your money to compound faster.

And the rates right now? They are incredibly competitive. You can find top MYGA rates that rival or even beat many other secure investments.

 These rates are locked in for the entire term, offering predictability and peace of mind. You know exactly what your account value will be at the end of the term, guaranteed by the issuing insurance company.  

• Predictable credited interest rates
  The rates on fixed annuities are derived from the insurer’s general account, which is typically composed of high-quality bonds and other conservative holdings.
• Guaranteed minimum rates
  Once the initial guarantee period in the contract expires, the insurer can adjust the rate based on a stated formula or on the yield it is earning on its general account. As a measure of protection against declining interest rates, fixed annuity contracts typically include a minimum rate guarantee.

Potential for growth without the fear of market loss: Fixed Indexed Annuities, or FIAs.  An FIA is different from a MYGA. Your potential interest is linked to the performance of an external market index, like the S&P 500, but you are not directly invested in the market. The key benefit? When the market goes up, your account has the potential to earn interest, subject to certain limits like caps or participation rates. When the market goes down, your principal and previously credited interest are protected—you get a zero return for that period, but you don't lose money. 

What about real performance?
Historical examples show a balance of protection and growth. For instance, an indexed annuity using a monthly averaging strategy linked to the S&P 500 during major market downturns (like 2000-2002 or 2007-2009) protected the principal entirely, while a direct market investment would have seen significant losses.

Over long periods, the average return of an indexed annuity with an 11% cap rate on the S&P 500 has been historically observed around 6.64% annually. This provides consistent, protected growth potential that traditional, fully market-exposed investments cannot match.

• Full protection of principal
  FIAs are protected from the volatility of the markets. Money is never invested in the stock market. Your credit strategy tracks the stock market, but you do not own assets that can lose value.
• Can potentially provide better rates than CDs
  From 1999 to 2020, many fixed index annuities outperformed the indexes they were correlated with. However, while this happens from time to time, they are not designed to outperform the stock market.
• An efficient way to plan for future income needs
  Once you annuitize with a lifetime payout option or turn on the income rider payouts, you cannot outlive that income stream.

 Now for the main event: ensuring you can't outlive your money. Many deferred annuities, both MYGAs and FIAs, offer an optional feature called a Guaranteed Lifetime Withdrawal Benefit (GLWB) rider.

This is a game-changer for retirement security. With some annuities this rider is included and some it is an extra charge, this rider guarantees a steady stream of income for the rest of your life, and if you choose, your spouse's life too, even if your account value drops to zero.

How it works:
The rider establishes a separate "benefit base," which is used solely to calculate your lifetime income payments. This base often grows at a guaranteed roll-up rate (e.g., 5% compounded annually) until you start taking income. When you're ready to retire, the insurance company pays a set percentage of that base (typically 4% to 10%, depending on your age) every year for life.

It acts as your personal pension plan, providing the kind of reliable income stream that social security offers.