Additional information
Market Value Adjustment A Market Value Adjustment applies to Withdrawals in excess of the Free Withdrawal amount and full surrenders during the Withdrawal Charge Period. If interest rates in the market are higher than when you purchased your annuity, the MVA is negative, meaning the Cash Surrender Value or net excess withdrawal you receive will reflect deductions for both withdrawal charges and MVA. If interest rates have decreased, the MVA will be positive. 2
Annuities are designed to meet your long- term savings and retirement needs, and most include a Withdrawal Charge Period. If you withdraw more money than the free amount allowed by your contract, or if you surrender the annuity before the Withdrawal Charge Period ends, a Withdrawal Charge and Market Value Adjustment will be applied. These charges do not apply to Free Withdrawals, RMDs, payments made in settlement of your annuity’s Death Benefit, or Confinement and Terminal Illness waivers. Withdrawal Charges If you surrender your annuity or withdraw an amount that exceeds the Free Withdrawal amount during the Withdrawal Charge Period, you will incur a Withdrawal Charge. In part, Withdrawal Charges allow the company to invest your money on a long-term basis and generally
offer higher rates than possible with a similar annuity of shorter term. For more information, see the Product Guide provided with this brochure. 1
1 Withdrawals and surrender may be subject to federal and state income tax and, except under certain circumstances, will be subject to an IRS penalty if taken prior to age 591/2. Withdrawals are not credited with index interest in the year they are taken. Withdrawals in excess of the free amount are subject to a Withdrawal Charge or MVA which may result in the loss of principal if taken during the first 7 years of the contract. 2 MVA may vary by state. For more information, please see Certificate of Disclosure or Form 17653, Understanding the MVA. Not applicable in CA. 11
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