Nationwide Financial Services Inc. has enhanced its Lifetime Income Rider to offer buyers of its variable annuities a chance at making higher income.

Nationwide, Columbus, Ohio, introduced the rider, known as L.inc, last years to offer a flexible choice of investment options.

The new improvements include a guaranteed roll-up of 7%, up from 5%, meaning the income benefit base is assured to increase by 7% simple interest annually for 10 years or until the first withdrawal, whichever comes first.

If the market is flat or down, the new roll-up translates to a guaranteed 70 percent increase to the income benefit base if the consumer waits 10 years to take a withdrawal. That amounts to a cushion against inflation, Nationwide says.

On the other hand, if the market is up and the contract value at any rider anniversary is higher than the guaranteed minimum value, the contract value becomes the new benefit base. This increases the lifetime withdrawal amount. If the contract value falls to zero after the first 10 years (and before the first withdrawal), there will be no further adjustments to the income benefit base. In other words, the benefit base will always be at least 170% of the initial purchase payment, Nationwide notes.

Nationwide L.inc is available with some VA for an additional cost equal to 0.7% of the income benefit base.