Secure Term Choice Fixed Annuity II
Do you worry about outliving your savings? The Secure Term Choice Fixed Annuity II has got your back. Issued by New York Life, this single premium deferred annuity allows you to build up savings gradually, with contributions starting from an affordable $5,000. The product's unique strength lies in its withdrawal options, allowing you generous annual withdrawals that could amount to up to 100% of your policy's gain.
Retirement can be a time of uncertainty, but the Secure Term Choice Fixed Annuity II endows you with a sense of security. The product guarantees a Return of Premium on your second policy anniversary and onwards. Additionally, it comes with four optional riders tailored to different needs and circumstances, giving you a personalized retirement plan. You've worked hard, now it's time for your money to work for you!
Secure Term Choice Fixed Annuity II
Ratings:
- A.M. Best A++
- Fitch AAA
- S&P AA+
- Moody's Aaa
- Comdex 100
About Product
MYGA Interest Rates
| Term |
Rate
Annual percentage yield (APY)
earned over the investment term |
|---|---|
| 3 years | 3.3% |
| 4 years | 3.3% |
| 5 years | 3.25% |
| 6 years | 3.25% |
| 7 years | 3.2% |
Minimum initial premium
- $5,000
- $10,000 for Pension plans
- Premiums of $1 million or more require NYLIAC approval.
Withdrawal options
- Minimum withdrawal amount is $100.
- The accumulation value may not fall below $2,000 due to a partial withdrawal.
- Each policy year, you may withdraw the greatest of:
- 10% of the accumulation value as of the previous anniversary, or
- 10% of the current accumulation value, or
- 100% of the gain earned in the policy. (For policies with a premium amount of $100,000 or more. Not available in New York.)
This product has a Return of Premium Benefit, which allows for a return of at least the premium paid, less any prior withdrawals and/or surrender charges related to withdrawals made before the Return of Premium Effective Date (currently the second policy anniversary for ages 0-85, effective immediately for ages 86-90).
Surrender charges on withdrawals taken on or after the Return of Premium Effective Date (currently the second policy anniversary for ages 0-85, effective immediately for ages 86-90) will never exceed the total interest credited to the policy. Surrender charges are five, six, seven, or eight years in duration and are waived in the event of annuitization, death, disability, diagnosis of a terminal illness, unemployment, or entrance into a health care facility (a state licensed/certified assisted living facility or nursing home).
There are four additional riders; the Enhanced Spousal Continuance Rider, the Enhanced Beneficiary Benefit Rider, the Interest Opportunity Rider and the Home Heath Care Rider. Each rider may not be available in all jurisdictions. Some states may offer the rider under a different name and benefits may vary. Withdrawals and taxable distributions may be subject to ordinary income tax and if made prior to age 59 1/2, may also be subject to a 10% federal income tax penalty. Early surrender charges may also apply. Guarantees based on claims paying ability of insurer. Products / features may not be available in all states. This is an annuity contract issued by an insurance company and not a bank product protected by the FDIC.
Return of Premium
- Issue age 0-85: effective on second policy anniversary
- Issue age 86-90: effective immediately
Riders
| Name | Inbuilt | Fee |
|---|---|---|
| Interest Opportunity Rider | No | |
| Enhanced Beneficiary Benefit Rider | Yes | 0.30% annually |
Waivers
Unemployment
The Living Needs Benefit/Unemployment Rider is automatically added to your policy with no additional fee. If you need immediate access to the money in your policy, this rider may give you some flexibility in accessing it, assuming you meet one of the following qualifying events: you are enrolled and living in a health care facility for 60 consecutive days; are diagnosed with a life expectancy of 12 months or less by a licensed physician; have a total and permanent disability that prevents you from performing any work for pay or profit for at least 12 consecutive months; or qualify for and have been receiving state unemployment benefits for 60 consecutive days. You may be eligible to make a withdrawal or receive the Accumulation Value with a full or partial waiver of surrender charges, but in order to be eligible, the qualifying event must take place on or after the policy date, and the policy must be in force for at least one year prior to receiving any benefits. This rider is automatically added to all policies with an issue age of 85 and younger. There is a minimum accumulation value of $5,000 to be eligible to receive these benefits. Available in jurisdictions where approved and subject to eligibility requirements. Some states may offer the rider under a different name, and benefits may vary. Benefits do not apply if the policy is annuitized, and benefits are subject to the terms of the rider. Withdrawals may be taxable and, if taken prior to age 59½, may be subject to a 10% IRS penalty. For disability under this rider, withdrawals or full surrenders made on or after your 66th birthday are not eligible for this benefit—applicable surrender charges will apply. Home Health Care acceptable.
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