It's easy to generate predictable retirement income — for life.
This tax-deferred fixed annuity features a flexible guaranteed lifetime withdrawal benefit (GLWB) to help generate retirement income that can't be outlived.
Assured Edge Income Builder can provide you with income certainty, along with the flexibility to receive guaranteed lifetime income now or in the future. You can elect to activate lifetime income when the time is right for you, even as early as age 50. Once your lifetime income withdrawals begin, they will continue for as long as you live, even if the contract value is reduced to zero due to lifetime income withdrawals.1 Single and joint life income options are available. There’s added flexibility to make changes to the persons covered under the guaranteed lifetime benefit before activating income to help address life events that include marriage, divorce or death. You also have the opportunity to make changes to single and joint payout coverage at the activation date, subject to certain limitations.2
In the event you need access to your contract value before or after activating lifetime income, the contract allows for certain withdrawals that are available without a withdrawal charge or market value adjustment (MVA). These withdrawals are referred to as penalty-free. Keep in mind, if you take any money out of your annuity before activating lifetime income, the withdrawal will proportionally reduce the income credit and GLIA. After activating income, any withdrawal that exceeds the GLIA, except for Required Minimum Distributions (RMDs) will also reduce the GLIA.
When you purchase Assured Edge Income Builder, your guaranteed lifetime income amount (GLIA) will increase based on a 7.5% income growth rate each year until you activate lifetime income.3 The annual income credit is a dollar amount calculated by multiplying the initial GLIA by the 7.5% income growth rate.
At the end of the initial interest rate period, a renewal rate will be declared annually and guaranteed for one year. The rate will not be less than the guaranteed minimum interest rate specified in your contract or applicable endorsement(s).
Beginning in the first contract year, you may take multiple withdrawals of up to 10% of the contract value, as of the previous anniversary, with no withdrawal charge or market value adjustment (MVA). You may also take penalty-free withdrawals to satisfy permitted RMDs based on this contract and taken under the company’s automated RMD program, withdrawals up to the GLIA after activating lifetime income, and withdrawals taken under certain waivers.
After the initial premium ($25,000 minimum), you have the ability to add to your premium during the first 60 days after your contract is issued.
The MVA is an adjustment that can either increase or decrease the withdrawal amount depending on the current interest rate environment. When interest rates at the time of withdrawal are higher than the level at the time the contract was issued, the MVA will decrease the withdrawal amount. If interest rates are down, the MVA will increase the withdrawal amount.
Should an MVA decrease apply, the amount charged will not result in your receiving less than the minimum withdrawal value as defined in your contract. MVA does not apply to withdrawals representing penalty-free withdrawal amounts, RMDs or death benefit. An external index referenced in your contract is used to measure rates.
Assured Edge Income Builder can help you prepare today for a more secure retirement tomorrow.
Please see the attached Product Overview for complete details.
Ask your financial professional for more information about annuity solutions that can help you establish a reliable retirement income source.
1 To realize the full benefit of lifetime income, withdrawals must not exceed the guaranteed lifetime income amount.
2 In the event there is more than one covered person, covered persons must be married to each other. If a change to a covered person occurs due to a life change event or on the activation date, at least one of the original covered persons named at issue must remain as one of the covered persons. The new covered person added must have been at least 50 as of the original contract issue date and cannot be older than age 80 at the time they are added to the contract. Available income options may vary depending upon individual circumstances as of the activation date.
3 The income growth rate is not a rate of return and the income growth credit is not added to the contract value.
Annuities issued by American General Life Insurance Company (AGL). Issuing company AGL is responsible for financial obligations of insurance products and is a member of American International Group, Inc. (AIG).
The above insurance company is a member of American International Group, Inc. Contract and optional guarantees are backed by the claims-paying ability of AGL. "AIG" is a marketing name used with products issued by AGL.
The Company, its distributors and representatives are not authorized to give legal, tax or accounting advice. Applicable laws and regulations are complex and subject to change. Any tax statements in this material are not intended to suggest the avoidance of U.S. federal, state or local tax penalties. For advice concerning your situation, consult your professional attorney, tax advisor or accountant.
Policy #s ICC16:224, Rider #s ICC18:AGE-8065 (8/18)
Not FDIC or NCUA/NCUSIF Insured. May Lose Value - No Bank or Credit Union Guarantee - Not a Deposit - Not Insured by any Federal Government Agency