RICHMOND, Va., June 17, 2013 /PRNewswire/ -- Genworth today announced the expansion of its family of SecureLiving® Fixed Index Annuities to include a five-year, single premium, fixed deferred annuity with a four percent guaranteed minimum accumulation value.
"Our new SecureLiving® Index 5 is a great tax-deferred accumulation option for consumers whose CDs are coming up for renewal," said Pat Foley, president of U.S. Life Insurance Distribution and Marketing at Genworth. "With interest crediting linked to the S&P 500® Index, the Secure Living Index 5 has the potential to outperform other financial products that are seeing historically low interest rates such as CDs and Money Market accounts during the same time period."
As a fixed annuity, the contract value is protected against downturns in the S&P 500® Index, meaning that all premium and interest credited can never be lost due to index decline. SecureLiving Index 5 goes one step further and guarantees 104 percent of the premium at the end of the surrender charge period, less adjustments for withdrawals, even if there is an extended down market. This important benefit is included in every contract at no additional cost.
Beginning in the second year, contract owners may withdraw up to 10 percent of the contract value each year without incurring a surrender charge or market value adjustment. As an added measure of security, a bailout provision allows the annuity owner to withdraw the entire contract value of the annuity, without penalty, if the declared annual cap on the annual cap strategy falls below the contract's bailout cap. The bailout cap is declared at contract issue and will not change during the life of the contract.SecureLiving® Index 5 has six interest-crediting strategies: two fixed rate options and four index crediting rate options, including Genworth's patent-pending CapMax SM interest crediting methodology. Available exclusively on Genworth's SecureLiving® Index Annuities, the CapMax option provides the potential for the contract value to grow more quickly than with traditional index crediting methods in years of consecutive positive index growth. Each year, SecureLiving Index annuity contract owners can change their strategy allocations.* Genworth's SecureLiving family of fixed index annuities also includes SecureLiving® Index 7 and SecureLiving® Index 10 Plus. SecureLiving® Index Annuities are issued by Genworth Life and Annuity Insurance Company, Richmond, VA. *The five-year fixed interest crediting strategy is available only at contract issue; in subsequent years, the contract owner can only allocate out of this strategy. The one-year fixed interest crediting strategy is available to allocate into after the first contract year.