Securian offers higher withdrawal rates on MyPath optional living benefits
ST. PAUL, Minn.--(BUSINESS WIRE)--Securian Financial Group announced higher single and joint withdrawal rates for MyPath™ optional living benefits on MultiOption® variable annuities issued by Minnesota Life. The higher annual income percentage withdrawal rates give annuity owners the ability to withdraw a higher percentage of their annuity assets than when the products were introduced.
“Financial advisors and their clients are looking for guaranteed income. With a more favorable interest rate environment, we saw an opportunity to enhance the guaranteed withdrawal percentages in our optional living benefit suite,” said Linda Sonterre, director, Individual Annuity Product Development.
For all applications signed on or after July 21, 2014, single and joint withdrawal rates increased by the following amounts:
- 0.10% on all MyPath benefits (single life)
- 0.25% for MyPath Ascend and MyPath Summit (joint life)
- 0.35% for MyPath Core Flex and MyPath Value (joint life)
Securian’s MyPath Lifetime Income suite of optional living benefits is designed to help clients protect, grow and sustain income that’s guaranteed to last throughout retirement.
“The MyPath suite provides flexibility that helps clients manage the ups and downs of an uncertain economic environment during retirement. The higher withdrawal rates provide even greater benefits for clients,” said Sonterre. “Securian’s risk-managed approach to this market is designed for longevity with the goal of providing products that meet a wide range of consumer needs.”
Securian variable annuities are issued by Minnesota Life Insurance Company and distributed through Securian Financial Services, Inc. Member FINRA/SIPC. MultiOption Variable Annuities and MyPath living benefits are available through advisors who have selling agreements with Minnesota Life Insurance Company. For more information, advisors may call the annuity sales desk at 1-866-335-7355. MyPath optional living benefits are available for an additional cost with MultiOption variable annuities.
About Securian Financial Group
Since 1880, Securian Financial Group and its affiliates have provided financial security for individuals and businesses in the form of insurance, investments and retirement plans. Now one of the nation’s largest financial services providers, Securian is the holding company parent of a group of companies that offer a broad range of financial services.
MultiOption annuities and MyPath optional living benefits may not be approved in all states and product features and availability may vary by state. We reserve the right to limit or discontinue acceptance of future purchase payments after the contract is issued. This may limit the ability to increase the contract value through additional purchase payments. If an optional benefit is elected in the contract, this may also limit the ability to increase the value used to calculate the optional benefit.
The MyPath lifetime income suite of optional living benefits establishes a benefit base for calculating guaranteed annual income. The benefit base provides no minimum contract value or investment return and is not available for withdrawal. Withdrawals exceeding allowed guidelines, or taken before the Benefit Date, may have a negative impact on the guarantees of these optional living benefits. These benefits cannot be cancelled and require use of an approved asset allocation strategy. The guarantees are based on the financial strength and claims-paying ability of the issuing insurance company and have no bearing on the performance of the variable investment options.
An annuity is intended to be a long-term, tax-deferred retirement vehicle. Earnings are taxable as ordinary income when distributed and, if withdrawn before age 59½, may be subject to a 10% federal tax penalty. If the annuity will fund an IRA or other tax-qualified plan, the tax deferral feature offers no additional value.
There are charges and expenses associated with annuities, such as deferred sales charges for early withdrawals, mortality and expense risk, administrative charges, investment management fees and rider fees. Variable annuities are subject to market fluctuation, investment risk and loss of principal.
Variable annuities are sold by prospectus. You should consider the investment objectives, risks, charges, and expenses of a portfolio and the variable insurance product carefully before investing. The portfolio and variable insurance product prospectuses contain this and other information. You may obtain a copy of the prospectus from your representative. Please read the prospectus carefully before investing.
DOFU 7-2014 A04064-0714