If you are thinking about a “1035” exchange, compare both annuities carefully. Unless you plan to hold the new annuity for a significant amount of time, you may be better off keeping the old annuity because the new annuity typically will impose a new surrender charge period. You will also...
A variable annuity is an insurance contract which allocates your money in stock or bond portfolios. As with every annuity, during the accumulation phase, your account grows on a tax deferred basis. When considering whether to invest in a variable annuity as part of your retirement plan, you ...
Instead of cashing in a variable annuity to buy one with better terms (such as lower annual fees) and paying tax at that time on any increase over your investment,you can transfer to another contractin what is called a1035 exchange. The exchange is tax-free as long as the annuitants are...
Variable annuities purchased outside of the workplace can also be rolled over to anotherqualified annuityvia a1035 exchange. This is a non-taxable transfer often used to gain access to a new annuity contract with different investment options, better riders, or lower expenses. As long as the fu...
An exchange of an existing annuity for a new annuity may be the only way a salesperson can generate additional business. However, the new variable annuity may have a lower contract value and a smaller death benefit. You should exchange your annuity only when it is better for you and not ju...
"Contracts" shall mean the class or classes of variable annuity contracts, which may include certain guaranteed account options managed as a non-insulated, non-unitized separate account of AICA's General Account, as set forth on Schedule 1 to this Agreement as in effect at the time this ...
A system for and method of variable annuity contract administration is provided. Each variable annuity contract includes a bonus investment credit percentage, withdrawal charge perc
Online Brochure Clarifies Variable Annuity Issues - www.sec.gov from United States Securities and Exchange Commission - Brief Article