A sister company of Blue Cross and Blue Shield of Illinois has introduced a fixed-rate product.
Fort Dearborn Life Insurance Company, Chicago, a unit of Health Care Service Corp., Chicago, says its new Classic Fortifier flexible-premium deferred fixed annuity could appeal to investors who want to be able to withdraw funds if the interest rate drops.
The annuity accepts deposits during the first 12 months of the contract and applies the same 5-year surrender charge schedule to all of those initial deposits.
Purchasers can take out up to 10% of the account value after the first year of the contract without incurring surrender charges, Fort Dearborn says.
Fort Dearborn also will pay an interest rate bonus on premiums deposited in the first 12 months, the company says.