Much like a typical certificate of deposit (CD), the Protector Guarantee Annuity guarantees you a safe and secure investment that is not subject to the ups and downs of the stock market or volatility in interest rates. Even with its ability to control downside risk, the Puritan annuity credits interest greater than typical CDs. You may choose from the following interest rate guarantee periods:
Tax deferral is one of an annuity’s greatest benefits. Whether you purchase your annuity with after-tax (non-qualified) or pre-tax (qualified) dollars, you will receive the benefit of compounding interest without having to pay federal or state taxes until you withdraw your money. This tax deferral is even more beneficial if you are in a lower tax bracket when you make a withdrawal – as many expect to be when they retire.*
Prior to the end of your interest rate guarantee period (IGP) you will have a 30-day window during which you can choose to select an IGP from those available, elect a payout option, or withdraw your funds, with no surrender charge or market value adjustment. For the 3-year and 5-year IGP options, if no election is made after the end of the first IGP, Puritan will automatically renew your annuity for a new 3-year or 5-year IGP, which will include new surrender charges and a market value adjustment. At the end your second 3-year or 5-year term or after the first 7-year term, your contract will become a 1-year interest rate guaranteed product with no surrender charges or market value adjustment. This allows you to continue to build tax-deferred interest indefinitely without withdrawal penalties. Renewal rates for subsequent guarantee periods may differ from the initial guaranteed interest rate.***
While you always have access to your money, a surrender charge is applicable if you choose to make a withdrawal greater than the penalty-free amount prior to the end of your current interest rate guarantee period.
|Renewal Period Surrender Charges In Blue|