Interest Crediting
GUARANTEED INCOME ANNUITY AND SOFR
The Guaranteed Income Annuity’s interest rate is calculated by utilizing a participation rate of the Secured Overnight Financing Rate, or SOFR rate. This enables you to receive a higher interest rate if rates increase during your contract’s guarantee period while still having the safety net of a guaranteed minimum interest rate. PREMIUM AND ACCOUNT BONUSES The Guaranteed Income Annuity offers a bonus with each of the three rider options. The Accumulation Benefit bonus and the Legacy Benefit bonus are each 10% and credited to both the Account Value and their respected Benefit Bases. The GLWB bonus is 11% and is only credited to the GLWB Income Account. Interest is earned on each of the bonuses.
10-YEAR ANNUITY 10% BONUS*
10% Bonus $10,000 $
Initial Premium $100,000
Starting value with bonus now $110,000
The Secured Overnight Financing Rate, or SOFR is a benchmark rate used throughout the world. The SOFR rate is published daily by the Federal Reserve Bank of New York and is based on overnight transactions in the U.S. Treasury repurchase agreement (repo) market. Thanks to SOFR, Atlantic Coast Life is able to offer our clients the potential to earn a rewarding return in a rising rate environment. Typically as general interest rates increase, so does SOFR, and vice versa. In order to learn more about SOFR and how it applies to the Guaranteed Income Annuity, see our SOFR brochure insert. WHAT IS SOFR?
*See the disclaimer page for more information.
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ACLGIABR-OT 062523
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