New Variable Annuity Strengthens Forethought’s Annuity Platform
Indianapolis, IN, June 10, 2014 — Counter to industry trends toward fewer variable annuity benefits, Forethought Life Insurance Company, a subsidiary of Global Atlantic Financial Group Limited, is offering additional attractive options for variable consumers, continuing to build upon its compelling ForeRetirement variable annuity suite.
The updated ForeRetirement variable annuities now offer Daily +4, another innovative, optional withdrawal benefit featuring daily step-up potential for income. Forethought stands apart as the only company in the industry with multiple daily step-up withdrawal options with Daily +4 alongside its predecessor, Daily 6.
“This second generation of our ForeRetirement variable annuity is the product of Forethought’s continued innovation and investment in the VA marketplace,” said Rob Arena, President of Forethought’s annuity division. “Forethought is helping more Americans successfully prepare for retirement with our comprehensive annuity platform, which includes variable and fixed annuities, as well as a long-term care annuity.”
Innovative New Withdrawal Option with Daily Step-Ups
The innovative Daily +4 breaks tradition with typical annuity withdrawal benefits. Instead of applying either a fixed deferral credit or performance-based increases, Daily +4 credits both. A 4% annual deferral credit applies on top of daily, performance-driven growth potential, or step-ups, for income purposes.
“By introducing Daily +4 alongside our more traditional Daily 6 optional withdrawal benefit, Forethought offers greater optionality for different types of investors,” said Paula Nelson, President of Forethought Distributors, LLC, the underwriting broker-dealer. “Daily 6 offers more downside protection with a higher deferral credit while the additive nature of Daily +4 provides greater growth potential when performance is strong.”
The benefits are offered at an additional charge. For both options, the deferral credit applies until the tenth contract anniversary or first withdrawal, if sooner.
Expanded Investment Platform
In addition, the ForeRetirement variable annuity investment platform has been enhanced with three new Forethought Variable Insurance Trust (FVIT) investment options from Forethought Investment Advisors, LLC. Among ForeRetirement’s more than 50 total investment choices, the FVIT investment options represent eight of nine managed-risk choices, offering volatility management alongside exposure to equities and fixed income investments for capital appreciation objectives.
National Availability
ForeRetirement variable annuities are offered in B, C and L share classes, sold through select national and regional financial institutions, including wirehouses, banks and independent broker-dealers. ForeRetirement is available is 49 states. Forethought does not issue in New York.
About Variable Annuities
Variable annuities are long-term investments intended for retirement purposes that offer tax-deferral, professionally managed investment options and flexible payouts. Values will fluctuate with investment performance, and the annuity may gain or lose value. Charges and fees will also reduce its value. Optional benefits are not available for purchase outside of a variable annuity and may be elected at an additional cost. A standard death benefit is included in the base product. Suitability and willingness to purchase the variable annuity must be considered prior to the potential benefits of any optional features.
About Forethought Life Insurance Company
Forethought Life Insurance Company provides a full suite of annuities and a leading preneed life insurance platform to help solve the pre-retirement, retirement and end-of-life challenges facing Americans today. A targeted strategy delivers multifaceted product lines to customers through key distribution relationships across the country. Experienced leadership and financial discipline underlie strong growth and success in the marketplace.
Mortgage Mojo
Annuity News
Health/Employee Benefits News
Life Insurance News
Property and Casualty News