A new immediate annuity includes several liquidity options that are designed to appeal to baby boomers.

Issued by Security Mutual Life Insurance Company of New York, the policy provides a guaranteed lifetime income for the purchaser and also allows the annuitant to receive unscheduled lump sum payments via the liquidity options.

One liquidity option allows partial withdrawals as of the fifth, 10th, and 15th contract anniversaries, according to the Binghamton, N.Y., insurer.

Another liquidity option, available with term certain annuities, permits the owner to withdraw the present value of the remaining term certain payments.

Also, at least once during the lifetime of the contract, the owner may accelerate up to 50% of annuity income payments due in the next 12 months.

The target market includes baby boomers who are looking to protect a level of retirement cash flow from possible stock market declined, the company indicates.

Traditional immediate annuities do not offer liquidity features, and this has deterred many annuity candidates from seriously considering the product, the company says

The policy is already approved in 17 states, with more states to follow, according to the insurer.