Surrender Charge Percentages Adjustment on AssetShield 10 Fixed Index Annuity Effective 02/22/2024
We have spent the past few years fine-tuning our products to best meet the needs of our contract owners. To ensure that we continue delivering best-in-class value to future contract owners, we are introducing changes to the AssetShield 10.
Please read on for more information on these changes below. There are two groups of states – Group A states that will receive a change in surrender charge percentages along with an updated disclosure, and Group B states that will only receive a new disclosure; the surrender charge percentages remains unaffected.
These changes go into effect February 22, 2024.
GROUP A: Surrender charge percentages for AssetShield 10 has changed; updated disclosure will be needed.
States Affected:
AL, AR, AZ, CO, DC, GA, HI, IA, KS, KY, LA, ME, MI, MS, ND, NE, NH, RI, SD, TN, WI, WV, WY
Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11+ |
Current Surrender Charge Percentages | 9.2% | 9.0% | 8.0% | 7.0% | 6.0% | 5.0% | 4.0% | 3.0% | 2.0% | 1.0% | 0.0% |
New Surrender Charge Percentages | 12.0% | 12.0% | 11.0% | 10.0% | 9.0% | 8.0% | 7.0% | 5.0% | 4.0% | 2.0% | 0.0% |
For clients to qualify for the current surrender charge percentages, applications along with cash or 1035/Transfer paperwork must be received by 5:00 p.m. CT on February 21, 2024, and transfer funds must be received by 5:00 p.m. CT on March 22, 2024. Applications received on or after February 22, 2024, will receive the new surrender charge percentages and require the updated disclosure. No exceptions.
Please read the updated disclosure which includes the new surrender charge percentages.
GROUP B: New product disclosure will be needed for applications received on or after February 22, 2024. Pending business will not be required to submit a new disclosure. Please note the surrender charge percentages for AssetShield 10 remains unchanged.
States Affected:
AK, ID, MT, NV, OH, OK, SC, UT, WA