New Options for Annual Interest Payments

March 5, 2024

You asked ─ we listened! We’re rolling out new options for annual interest payments. Currently, annual interest can only be set up on a scheduled basis, and only on the anniversary date. 

On Feb. 1, 2024, we added these new options at any time after the first contract year:

  • One-time withdrawal of one year of interest
  • A scheduled withdrawal of one year of interest 

This means no more waiting for the anniversary date, and no more being forced into a scheduled withdrawal. 

Some other key points:

  • This applies only to contracts that allow surrender charge free payments of interest as earned.
  • It’s only for annual interest, not any other payout period.
  • A one-time withdrawal can only be requested after the completion of the first contract year.
  • Requests still require regular distribution forms.
    • If the client wants a one-time payment, they should indicate “one year interest” on the withdrawal line so we don’t apply surrender fees.
    • Electronic Funds Transfer, or EFT, cannot be set up for the one-time payment. 

We’re excited to offer these new options for our clients and agents, based on your direct feedback to improve the customer’s experience. 

If you have any questions about this change, contact our service specialists at 800.247.6888 or send us a message. Choose In-Force Policies and Customer Service in the topic drop-down list.

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