Trailhead 5
About Product
- Premium Protection: Both your initial premium and any interest credited to your account are protected against loss.
- Market-Linked Index Growth Potential: Earn interest based on market index performance without a negative impact to your principal.
- Tax Deferral: You do not pay taxes on any interest credited to your account. You only pay taxes when you make withdrawals.
- Guaranteed Lifetime Income: Several annuitization options available to provide guaranteed income.
- Legacy Benefits: Leave a legacy with death benefit options for the ones closest to you.
For the S&P 500 Dynamic Intraday TCA, DB Foresight X-Asset 10 and Nasdaq-100 Volatility Control 7% indices, the crediting rates at the time of the annuity issue date will be guaranteed for the duration of the Surrender Charge Period.
Interest Boost Percentage
At the end of the first 1- or 2-Year Initial Strategy Term selected, a one-time percentage boost will be applied, determined by your Interest Boost rate, in addition to the interest generated from your chosen crediting strategy (or strategies).
Allocation Accounts
| Name | Type | Rates |
|---|---|---|
| 2-Year Fixed Account |
Fixed
|
4.25%
Fixed
|
| 1-Year Fixed Account |
Fixed
|
4.25%
Fixed
|
| 1-Year S&P 500 PTP Cap |
Point to Point
Annual
|
9.5%
Cap
|
| 2-Year Nasdaq-100 Volatility Control 7% PTP Participation Rate Guaranteed |
Point to Point
Biennial
|
151%
Participation
|
| 1-Year Nasdaq-100 Volatility Control 7% PTP Participation Rate Guaranteed |
Point to Point
Annual
|
98%
Participation
|
Surrender schedule
| Year | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| Penalty | 9% | 8% | 7% | 6% | 5% |
Riders
No Riders for Trailhead 5 annuity.
Waivers
Nursing Home
Unavailable in states: CA
We will waive the surrender charges and the Market Value Adjustment will not apply, subject to the free withdrawal provisions, if the contract owner is: (1) confined to an eligible nursing home for a period of at least 90 consecutive days prior to becoming eligible for this benefit, and if the owner was not confined to an eligible nursing home during the first contract year; and, (2) if there is no amount available for free withdrawal under the free withdrawal provision; and, (3) if you have been the owner continuously since the contract date; and (4) you were less than 80 years old on the contract date. Proof of confinement must be provided and must be accompanied by a written statement. Any written request for a withdrawal under this provision must be given to Axonic Insurance Services within 90 days of the last day of confinement in an eligible nursing home or earlier, except in the absence of legal incapacity, for which it must be provided as soon as reasonably possible. Eligible nursing home: a public or private residential facility providing a high level of long term personal or nursing care for persons (such as the aged or the chronically ill) who are unable to care for themselves properly.
Terminal Illness
Unavailable in states: CA
If you become terminally ill, which shall mean, if any medical conditions which a physician certifies has reduced your expected life span to 12 months or less, you may request by written notice to make a full surrender or partial withdrawals ($1,000 minimum) and Axonic Insurance Services will waive the surrender charges and the Market Value Adjustment will not apply in accordance with the conditions set out in this rider, if (1) you have been the owner continuously since the contract date and (2) you were less than 80 years old on the contract date.
Premium Notes
Up to age 89 and 364 days.
Minimum/Maximum Premium
Minimum $20,000 / Maximum $1,000,000 (may be exceeded with company approval).
Withdrawal Provisions
Withdrawals After the first contract year, you may make multiple, free withdrawals up to 10% of the contract value. Any amount withdrawn during a contract year that exceeds the free withdrawal amount will be subject to a surrender charge and MVA. A 10% IRS penalty may apply to withdrawals prior to age 59 1/2. The free withdrawal amount is reduced by any withdrawals taken since the last contract anniversary. If the contract value drops below $5,000 due to withdrawals, the contract will be automatically be surrendered and subject to surrender charges and MVA. Minimum Withdrawal Amount$500.00 Required Minimum Distributions (RMDs) In year two of the contract, you may make multiple withdrawals of an amount (minimum withdrawal amount is $500.00) up to the remaining annual free withdrawal amount available as of the date of the withdrawal without incurring a surrender charge or Market Value Adjustment. Market Value Adjustment (MVA) The MVA is designed to reflect the changes in interest rates or market conditions throughout the duration of your contract. The MVA may be positive or negative. MVA applies to all withdrawals and surrenders, except for free withdrawals. MVA does not apply upon death of the contract’s owner.
- A.M. Best A-
