Conseco Annuity Offers Free-Out Options

A Midwestern insurer has come out with a savings product for consumers who are feeling indecisive.

Conseco Insurance Company, a unit of Conseco Inc., Carmel, Ind., has introduced the Conseco Command equity indexed annuity, a single-premium annuity with returns tied to the performance of the S&P 500 stock index.

Younger purchasers can earn a persistency bonus of 10% if they keep their annuities in force for 16 years, and the product also offers a choice of 4 different “free-out” windows, Conseco says.

When a consumer buys the product, the consumer can choose to have no free-out option or to have windows of 4, 8 or 12 years, Conseco says.

With the 4-year free-out window, for example, a contract holder can withdraw all or a portion of the cash value on the contract’s fourth anniversary without paying surrender charges, Conseco says.