The U.S. arm of a Canadian financial services company has replaced the benefits guarantee options available with the Masters variable annuities with new guarantee options.
Sun Life Financial (U.S.), Wellesley Hills, Mass., a unit of Sun Life Financial Inc., Toronto, says it will be selling the Income ON Demand II Suite and Retirement Income Escalator II option collection in place of the Income ON Demand and Retirement Income Escalator living benefits options.
The Income ON Demand II suite offers a guaranteed annual withdrawal amount
The base version offers income storage as early as age 50, and the Plus version offers storage with a 7% bonus for waiting during the first 10 contract years if no withdrawals are taken during those years.
The Escalator option provides income storage with tiered income of 5% to 7% at different ages, depending on the owner’s age at the beginning of the stored income period.