Annuities: Offering Protection In A COVID-Crazy World
August 26, 2020 by Ryan Skinner
Will I run out of money? Do I run the risk of losing my savings due to outside factors? It is no secret that these are two of the main questions facing those approaching or considering retirement, even more so considering the COVID-19 pandemic.
Wink’s Note: “Results for indexed annuities are normally” NOT “twice” the rates credited on fixed annuities. Indexed annuities will outpace fixed annuities by 1% – 2%, over the life of the contract.
The “[typical] cost of a [GLWB] is” NOT “1% of returns.” The typical Guaranteed Lifetime Withdrawal Benefit rider charge today is 0.98% of the BENEFIT BASE value. This value is a much greater value than the account value; often two times greater! In such an instance, the client is actually paying double the 0.98% charge. Please realize, and communicate, that this charge properly.
The author doesn’t state why people are questioning “even more so considering Covid-19” if they will run out of money in retirement.