Nursing home multiplier Not available in the state of California. Double the lifetime payment amount when you need it most While nobody likes to think about it, the potential cost of nursing home care can take a substantial bite out of retirement savings. This, in turn, can have a negative effect on ongoing retirement income. With the nursing home multiplier (referred to in the rider as the LPA multiplier) feature of your Income Pay Pro fixed index annuity, you have the option to receive an increased lifetime payment, if needed, to help with nursing home expenses or other needs. How it works With the nursing home multiplier feature, the LPA can be doubled if you become confined to a qualified care center, as defined in the rider. This benefit is available as early as age 50, and it can be accessed for up to five annual payments. This benefit does not have to be utilized for a consecutive five year period. You can elect the nursing home multiplier benefit as long as all of the following conditions are met: • you were not confined to a qualified care center on the issue date; and • you wait at least two years after contract issue date before requesting the nursing multiplier benefit; and • you are confined to a qualified care center for at least 90 consecutive days; and • you provide written proof to North American of medically-necessary confinement; and • the accumulation value is greater than zero. On each contract anniversary after electing the nursing home multiplier, your LPA will revert back to the original LPA if you do not provide written proof of continued confinement. If the nursing home multiplier benefit limit, which is five annual payments, has been reached you will not receive the nursing home multiplier benefit in the following year.
Before confinement
Qualifications met and nursing home multiplier elected
Nursing home multiplier feature ends
Contract year 7 $35,625
Contract year 8 $35,625
Contract year 9 $35,625
Contract year 10 $35,625
Contract year 11 $35,625
Contract year 5 $17,812
Contract year 6 $17,812
Contract year 12 $17,812
This hypothetical example is for illustrative and educational purposes only.
Nursing home multiplier plus LPA reserve Did you know?” If you are receiving doubled LPAs from the nursing home multiplier, you can still utilize the LPA reserve by deferring all or a portion of the doubled LPA. During this time of need, the LPA reserve can work in tandem with the nursing home multiplier providing strong flexibility.
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