* All guarantees are subject to the claims paying ability of the issuing insurance company.
An annuity is an insurance product designed for long-term savings. There are considerations to keep in mind, such as a surrender-charge period on full surrenders and on certain withdrawals. Account value will be impacted by withdrawals. These vary by contract so you want to ensure you are aware of these elements before you purchase an annuity. Withdrawals may be subject to federal and/or state income taxes. An additional 10% federal tax may apply if individuals make withdrawals or surrender their annuity before age 59 ½.
1 Variable annuities are long-term investments and involve fees and expenses not typically associated with other investments. Surrender charges may apply in the early years of an annuity contract. Earnings will be taxed as ordinary income at withdrawal. Withdrawals prior to age 59½ may be subject to a 10 percent penalty. Variable annuities values fluctuate so that an investor’s shares, when redeemed, may be more or less than their original cost. Investing in variable annuities through a tax-deferred retirement plan such as an IRA will gain no additional tax advantages, and under these circumstances one should consider buying an annuity only if it makes sense because of other features, such as lifetime income payment and death benefit protection.
Investors should carefully consider the investment objectives, risks, and charges and expenses of a variable annuity before investing. This and other information can be found in the prospectus for the contract and its underlying investment options which can be obtained from your investment consultant. Please read it carefully prior to investing.