Pacific Life, Newport Beach, Calif., has launched CoreIncome Advantage5, an optional benefit available with its variable annuities. CoreIncome Advantage5 allows clients to withdraw up to 5% of the protected amount annually for life as long as the first withdrawal is taken at or after age 65. Last year, Pacific Life introduced its first lower-cost, simplified optional benefit, CoreIncome Advantage, a 4% withdrawal benefit.
CoreIncome Advantage5 is currently available for an additional charge of 0.60% of the protected amount, deducted quarterly (0.15%). CoreIncome Advantage is currently available for an additional charge of 0.30% of the protected amount, deducted quarterly (0.075%). Both require clients’ contracts to be and remain 100% allocated according to the investment allocation requirements which include a broadly diversified selection of asset allocation portfolios and custom model solutions. After withdrawals begin, clients have the ability to lock in market gains through automatic annual step-ups.