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Quiz question: GLB election

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The question was: Which of the following optional guaranteed living benefits did the largest percentage of annuity investors elect to purchase in 2007?

a) Guaranteed minimum accumulation benefit (GMAB)?
b) Guaranteed minimum income benefit (GMIB)?
c) Guaranteed minimum withdrawal benefit (GMWB)?
d) Guaranteed lifetime withdrawal benefit (GLWB)?
e) Hybrid

The answer is: d), the largest percentage of annuity investors elected to purchase the guaranteed lifetime withdrawal benefit feature in 2007, according to a study by LIMRA International, Windsor, Conn., reported in the April 7, 2008 National Underwriter Life & Health. The study said 44% of annuity buyers elected to the GLWB rider, compared with 34%, 24%, 12% and 6%, respectively, who elected to the GMIB, hybrid, GMWB and GMAB riders.

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