An insurer has introduced a new single-premium equity indexed annuity.
The Wellesley, Mass., U.S. arm of Sun Life Financial Inc., Toronto, says the new SunDex Advantage includes a Lifetime Benefit feature that can be activated by any holder after age 60.
The feature can provide lifetime income for holders with depleted account value, as long as the value is at least $12,500, Sun Life says.
The amount of income is based on a withdrawal amount that can range from 5% to 7.5% of the account value depending on the age of the covered individual at the time the Lifetime Benefit feature is activated.
The holder pays for the feature through an adjustment in the holder’s share of any increase in the S&P 500 index.