Fees (cont.)
Access your total account value with no surrender charges or Market Value Adjustment (MVA). If you need home health or nursing home care, or are diagnosed with a terminal illness, you may access your total account value with no surrender charges or MVA. The diagnosis of terminal illness must occur at least one year after the contract is issued. In AK, AL, ID, MN, MS, MT, OR, PA, PR and WA, nursing home care or confinement must begin after the contract effective date. In all other states, nursing home care or confinement must begin at least 1 year after the contract effective date. These are defined conditions and benefits, and availability may vary from state to state. What is a Required Minimum Distribution (RMD)? An RMD is the amount that qualified plan participants must begin withdrawing at age 72. RMDs are required in order to avoid a penalty from the IRS and will be taxed as regular income. If you need to withdraw above the annual penalty free withdrawal amount for the purpose of an RMD, F&G will waive any surrender charges and market value adjustments. What is a Market Value Adjustment (MVA)? Any time a withdrawal incurs a surrender charge, an MVA will be made. The MVA is based on a formula that takes into account changes in the rates since the contract was issued. Generally, if rates have risen, the MVA will decrease the surrender value; if they have fallen, the MVA will increase the surrender value. The MVA does not apply in AK, AL, ID, IL, MN, MO, MS, MT, OR, PA, PR and WA. Finally, if you choose to add index option riders, a 1.25% fee will apply. Index option riders may offer the potential for higher caps, higher par rates and/or lower spread rates. Consult the SOU for complete details on options available.
Access for unexpected health care costs
● Home health care 1 ● Nursing home care 1 ● Terminal illness
1 Not available in MA.
RMD-friendly annuity
See the SOU for details on surrender charges and MVA.
9
ADV 1986 (02-2019)
Fidelity & Guaranty Life Insurance Company
Rev. 11-2022 22-0243
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