NAC Guaranteed Allocation 7
NAC Guaranteed Allocation 7
About Product
- Guaranteed rates
All credited rates are guaranteed for the entire surrender charge period. After this period, rates for fixed and index accounts will be declared annually. - Seamless, turnkey diversification
Choose from four Model Blend options with preset allocations for built-in diversification. With automatic rebalancing on each contract anniversary, you can easily manage your allocations without extra effort, keeping them consistently diversified. - Strong accumulation & growth potential
Index options are available from one of the premier brands, S&P.
A Model Blend is a pre-determined combination of strategies and allocation percentages. Allocations to the strategies within each Model Blend (also referred to as Strategy Allocation Percentages*) will not change after contract issuance. Premium at issue and Accumulation Value upon contract anniversaries can only be allocated to or from available Model Blends and the Fixed Account and cannot be allocated to or from the specific strategies within any Model Blend. Your client may only have amounts allocated to one Model Blend at a time. This product only permits your client to allocate to the Fixed Account and/or one Model Blend of the Index Account. You may not allocate amounts to any of the individual strategies.
With NAC Guaranteed Allocation, you can allocate your premium to the fixed account and/or only ONE Model Blend.
Automatic rebalancing
Each contract anniversary, we will automatically reallocate your client’s Accumulation Value so the resulting percentage of Accumulation Value allocated to the selected Model Blend and Fixed Account will equal their most recent allocation instructions. Within each Model Blend, the Accumulation Value among the strategies will be redistributed according to the original Strategy Allocation Percentages established for the Model Blend on the issue date. Rebalancing occurs after any interest credits are applied and after any reductions to the Accumulation Value for any applicable rider charges or fees. Rebalancing may result in transferring funds from strategies that earned a higher interest credit to strategies that earned a lower interest credit.
Please check official illustrations at https://www.northamericancompany.com/naloginpage
Allocation Accounts
| Name | Type | Rates |
|---|---|---|
| 1-Year S&P 500 PTP Cap Model Blend A (20% Allocation) |
Blend
Annual
|
11.5%
Cap
|
| 1-Year S&P 500 Dynamic Intraday TCA PTP Participation Rate Model Blend A (20% Allocation) |
Blend
Annual
|
40%
Participation
|
| 1-Year S&P MARC 5% ER PTP Participation Rate Model Blend A (40% Allocation) |
Blend
Annual
|
120%
Participation
|
| 1-Year S&P Commodity Risk Premia Diversifier TCA PTP Participation Rate Model Blend A (20% Allocation) |
Blend
Annual
|
95%
Participation
|
| 1-Year S&P 500 PTP Cap Model Blend B (30% Allocation) |
Blend
Annual
|
8.75%
Cap
|
| 1-Year S&P 500 Dynamic Intraday TCA PTP Participation Rate Model Blend B (30% Allocation) |
Blend
Annual
|
40%
Participation
|
| 1-Year S&P MARC 5% ER PTP Participation Rate Model Blend B (25% Allocation) |
Blend
Annual
|
120%
Participation
|
| 1-Year S&P Commodity Risk Premia Diversifier TCA PTP Participation Rate Model Blend B (15% Allocation) |
Blend
Annual
|
95%
Participation
|
| 1-Year S&P 500 PTP Cap Model Blend C (40% Allocation) |
Blend
Annual
|
7.5%
Cap
|
| 1-Year S&P 500 Dynamic Intraday TCA PTP Participation Rate Model Blend C (40% Allocation) |
Blend
Annual
|
40%
Participation
|
| 1-Year S&P MARC 5% ER PTP Participation Rate Model Blend C (10% Allocation) |
Blend
Annual
|
120%
Participation
|
| 1-Year S&P Commodity Risk Premia Diversifier TCA PTP Participation Rate Model Blend C (10% Allocation) |
Blend
Annual
|
95%
Participation
|
| 1-Year S&P 500 PTP Cap Model Blend D (50% Allocation) |
Blend
Annual
|
7%
Cap
|
| 1-Year S&P 500 Dynamic Intraday TCA PTP Participation Rate Model Blend D (50% Allocation) |
Blend
Annual
|
40%
Participation
|
| 7-Year Fixed Account |
Fixed
|
3.15%
Fixed
|
Surrender schedule
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Penalty | 9% | 8% | 7% | 6% | 5% | 4% | 3% |
Riders
No Riders for NAC Guaranteed Allocation 7 annuity.
Waivers
Nursing Home
Unavailable in states: SD
After the first contract anniversary, if you are confined to a qualified nursing care center as defined in the rider, you may withdraw up to 100% of your accumulation value without a surrender charge or MVA as long as you meet the eligibility requirements for this rider. If you withdraw 100% of your accumulation value, your contract and any applicable riders will terminate. This benefit is provided by a waiver rider which is included with your Annuity Contract when it is issued. Refer to the waiver rider for additional details, including benefit terms, conditions, and limitations.
Premium Notes
Withdrawal Provisions
Penalty-free withdrawals NAC Guaranteed Allocation allows you to access a portion of funds each year without incurring a surrender charge and Market Value Adjustment (MVA). Starting in the first contract year, you may choose to take a penalty-free withdrawal of up to 10% of the beginning of the year accumulation value annually. Any withdrawals will first come out of any fixed account allocations then pro-rata from any Model Blend. By current company practice*, Required Minimum Distributions (RMDs) based solely on this annuity contract that exceed the available penalty-free withdrawal amount may be withdrawn without a surrender charge or market value adjustment. Withdrawals may be treated by the government as ordinary income. If taken before age 59½, you may be subject to additional IRS penalties for early withdrawal. Market value adjustment (MVA) with external index (state variations exist) Your contract also includes a market value adjustment feature – which may decrease or increase your surrender value depending on the change in the market value adjustment external index rate since your annuity purchase. Due to the mechanics of a market value adjustment, surrender values generally decrease as the market value adjustment external index rises or remains constant. When the market value adjustment external index decreases enough over time, the surrender value generally increases. Market value adjustments are applied only during the surrender charge period to surrenders in excess of the penalty-free amount. Your annuitization payout options You can choose to receive annuity payments based on your choice of several annuity options. Once you elect an annuitization option, it cannot be changed, and all other rights and benefits under the annuity end. The payment amount and number of payments will be based on your annuity’s surrender value and the annuitization option you choose (state variations may exist). See table for available payout options. By current company practice*, you may receive an income from the Accumulation Value applied to contractually guaranteed payout option amounts under certain conditions: 1) after the first contract year if you choose a Life income option; or 2) if your annuity has been inforce for at least five years and you elect to receive payments over at least a five-year period. *A feature offered "by current company practice" is not a contractual guarantee of this annuity contract and can be removed or changed at any time.
- A.M. Best A+
- Fitch A+
- S&P A+
- Comdex 89
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