There are three CommandMark base products, CommandMark, CommandMark Plus and CommandMark IR, which vary by premium bonus level, the duration of the surrender charge and premium bonus vesting period. In addition, theseries offers several innovative riders, including the Income Command Rider 2.0 Enhanced, which provides a Guaranteed Lifetime Withdrawal Benefit (GLWB) and enhanced Chronic Care Benefit, and the Heritage Rider, which provides an Enhanced Death Benefit.
These latest product innovations are offered exclusively through the company’s partnership with Legacy Marketing Group®.
“In today’s uncertain economic environment, offering tailored retirement solutions is invaluable to meeting the needs of consumers,” said
Income Command Rider 2.0 Enhanced Offers Confinement Protection
In states where available, the Income Command Rider 2.0 Enhanced offers a guaranteed lifetime income stream. The income base from which guarantees are derived will increase at a compound roll up rate of 10% on CommandMark, and 6.5% on CommandMark Plus and CommandMark IR during the guaranteed income accumulation period. In addition, the rider can provide an enhanced income stream equal to double the standard GLWB for up to five years in the event the annuity holder becomes confined to a nursing facility. The Income Command Rider 2.0 Enhanced is optional on all base products except CommandMark IR.
“The marketplace increasingly demands products that can meet consumer needs that change over time,” said
Heritage Rider Provides Peace of Mind with an Enhanced Death Benefit
The optional Heritage Rider must be purchased in combination with the Income Command Rider 2.0 Enhanced and may offer a death benefit in excess of the annuity value. The benefit provided by the Heritage Rider becomes available after the third contract anniversary and is equal to 50% of the difference between the base contract’s annuity value and the income base under the Income Command Rider 2.0 Enhanced during the guaranteed income accumulation period. After the GLWB rider exercise date, the enhanced death benefit is reduced by withdrawals in the same proportion as the annuity value is reduced.
“Coupled with the Income Command Rider 2.0 Enhanced, the Heritage Rider provides policyholders with additional protection for their heirs,” said Pedersen.
BACKGROUND ON INDEXED ANNUITIES
An indexed annuity allows individuals to benefit from growth in the market without the risk of direct investment in the market. When the index shows a positive performance above a specified threshold, “index credits” that are based on that performance are added to the account value. Unlike direct investments, the account does not lose any value when the index goes down because index credits can never be negative.