Nationwide Financial Services Inc. is adding a retirement income guarantee option for variable annuity holders.[@@]
The option, the America’s Income Annuity Income Foundation rider, gives holders of immediate variable annuities a choice between a “step-up guarantee” and a “level guarantee.”
The step-up guarantee ensures that consumers will get income payments that always will be at least 75% of the value of the first variable payment amount, according to Nationwide Financial, Columbus, Ohio. The minimum payment level can increase on each contract anniversary if strong investment returns increase the variable payment amount.