Jackson is adding a flexible retirement income spigot for its Market Link Pro family of registered index-linked annuities.
The new optional +Income lifetime income benefit can let a client choose whether to pull cash from a RILA contract, through a guaranteed annual withdrawal amount, immediately or after a deferral period.
The longer the client waits to begin taking withdrawals, the higher the guaranteed withdrawal amount percentage will be, Jackson says.
What it means: Relatively high interest rates and growing RILA market competition may boost RILA benefit design creativity.
The Jackson income benefit: Jackson introduced its RILA contracts in 2021.
Like other RILA contracts, the Jackson RILA contracts are variable annuities that are registered with the U.S. Securities and Exchange Commission.
For a traditional variable annuity, the crediting rate, or interest rate, depends on the performance of mutual fund-like investment funds.
For a RILA, the crediting rate depends on the performance of one or more indexes.
The Jackson annuities come with a menu of five different investment indexes.
