Nationwide Financial Services Inc. is updating its variable annuity line by increasing client payouts under its lifetime income rider for VA contracts and rolling out a new B-share product.

The living benefit rider now guarantees a payout of 5.25% for ages 65 to 80, up from 5%, and 6.25% for ages 81 and over, up from 6%, according to Nationwide, Columbus, Ohio.

The increases reflect recovering financial markets, Nationwide says.

The rider is available for an additional cost on new VA contracts with some age restrictions, the company says.

The new VA contract, Nationwide Destination B, is issued by Nationwide Life Insurance Company or Nationwide Life and Annuity Insurance Company.

The contract allows policyowners to choose an investment portfolio or build a custom portfolio, and to buy the guaranteed living benefit rider for an additional cost, the company says,

The B-share contract is part of Nationwide’s Destination Series, which includes additional B-share options, and L-share and C-share options.

All guarantees and protections are subject to the claims-paying ability of Nationwide Life Insurance Company, the insurer says.