NU Online News Service, June 14, 2004, 4:22 p.m. EDT – Travelers Life & Annuity, Hartford, has introduced a principal protection rider for its Vintage Series and Portfolio Architect Series variable annuities.[@@]
The optional Principal Preservation rider protects the value of the principal invested in the annuity during the first contract year. Purchasers can withdraw up to 15% of the principal without surrender charges starting 90 days before the fifth contract anniversary.
The rider costs 0.50% of assets.
To qualify for the rider, investors must choose from a menu that includes small-cap, large-cap and balanced investment options, and they must allocate at least 20% of their assets to fixed-income subaccounts.
Travelers Life is a unit of Citigroup Inc., New York.