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Allianz Life Adds Switchable Indexed Annuity: Annuity Product Update

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Allianz Life Insurance Company of North America has introduced the Allianz Benefit Control Annuity contract.

(Related: Brighthouse Adds Indexed Annuity: Annuity Product Update)

The product is an indexed annuity that’s filed as a non-variable product.

The product gives the holder the ability to begin income on any monthly contract anniversary after age 50, with no minimum waiting period, according to Allianz Life.

While the client is accumulating assets, the client can choose between two options for how to grow the contract’s “protected income value,” or PIV.

One option, the Accelerated PIV Interest Bonus option, provides a 250% interest bonus to the PIV, along with a 50% interest factor added to the accumulation value, according to Allianz Life.

That option is aimed at clients who plan to take lifetime withdrawals in the future, Allianz Life says.

The second option, the Balanced PIV Interest Bonus option, provides a 150% PIV interest bonus and a 100% accumulation value interest factor, Allianz Life says.

The second option may have more appeal for clients who will eventually withdraw the accumulation value in the form of a lump sum, Allianz Life says.

Allianz Life is a Minneapolis-based arm of Allianz SE of Munich.

In other annuity product news:

Legacy Marketing Group of Petaluma, California, says it’s teaming up with Western & Southern Financial Group Inc. of Cincinnati to developed an indexed annuity.

The annuity will be filed as a non-variable product, Legacy says.

Legacy expects Integrity Life Insurance Company, an arm of Western & Southern, to be the issuer.

Several companies have announced plans to suspend sales of certain annuity contracts, eliminate contract options, or change prices or contract terms in response to low interested rates and investment market volatility.

Nationwide, for example, will be suspending new sales of the Nationwide New Heights 8 indexed annuity effective March 16. The company is continuing to sell other New Heights indeed annuities but decreasing the rates.

Lincoln Financial Group will be suspending new sales of the Lincoln OptiBlend Plus premium bonus product effective March 16.

— Read Ameriprise Adjusts Annuity Offerings for Low-Rate Environment, on ThinkAdvisor.

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