Multi-Choice Annuity

Overview

A Rewarding Blend of Safety, Growth and Flexibility

The Multi-Choice Annuity is a single-premium, deferred annuity offering a robust set of client-friendly features plus a market-value adjustment feature, which optimizes the growth potential of your client's savings. Clients can select optional withdrawal provisions that best meet their financial needs.

Unique Feature: Choice of Withdrawal Options

  1. No optional withdrawal provisions
  2. Interest only withdrawal after 30 days
  3. 10% annual withdrawals1
  4. 10% annual withdrawals and Guarantee of Principal (GOP)1

Rate Guarantees – 3, 5 or 7 Years

Initial Rate Guarantee Period

Your client may choose a 3, 5 or 7-year initial interest rate guarantee period and receive the rate in effect at the time they buy the annuity for the entire length of the guarantee period. Interest is calculated and credited daily. At the end of the term, they may withdraw their money or automatically start a new guaranteed-rate period.

Subsequent Rate Guarantee Period

If your client chooses to continue their annuity, a new interest rate guarantee period and surrender-charge period automatically begins at the end of the initial term, then again at the end of each subsequent term.2 All subsequent terms will be for the same duration as their initial guarantee period. Subsequent liquidity options will the same in subsequent terms.

During the first 30 days of each subsequent term, your client may withdraw some or all of their funds without a surrender charge or market value adjustment.

The Standard sets a new interest rate at the beginning of each subsequent rate guarantee period, and we guarantee the rate for that period. The new rate may be higher or lower than the interest rate of the initial rate guarantee period.

Surrender Periods With Flexible Withdrawal Options

Surrender-charge periods match the rate guarantee periods. For example, if your client selected a Multi-Choice Annuity 3, all subsequent guarantee periods will be 3 years.

At the end of each guarantee period, new interest rate guarantee periods and surrender-charge periods automatically begin.2 During the first 30 days of each subsequent surrender-charge period, your client may withdraw some or all of their funds without a surrender charge. In addition, the MCA offers withdrawal options without a surrender charge or market value adjustment to help in certain situations.

Target Clients

The Multi-Choice Annuity is a good fit for a long-term saver who likes the benefits of tax-deferred growth and protection as part of their retirement strategy.

This annuity is also an excellent way to enhance your client’s retirement-savings plan and can be used to fund Traditional IRAs, Roth IRAs, Pensions Plans, Simplified Employee Pensions as well as non-qualified plans.

 

1. Applies after the first contract year.

2. Subject to restrictions in Florida to comply with state regulations.

 

Some products and rate guarantee periods available through select distribution only.

Rates may change without notice. Products of Standard Insurance Company. Product features and availability varies by state.

Features
  • Multi-Choice Annuity 3
    • 3-Year Rate Guarantee Periods, 3-Year Market Value Adjustment Periods
    • 3-Year Surrender-Charge Periods (9.4%, 8.5%, 7.5%)
  • Multi-Choice Annuity 5
    • 5-Year Rate Guarantee Periods, 5-Year Market Value Adjustment Periods
    • 5-Year Surrender-Charge Periods (9.4%, 8.5%, 7.5%, 6.5%, 5.5%)
  • Multi-Choice Annuity 7
    • 7-Year Rate Guarantee Periods, 7-Year Market Value Adjustment Periods
    • 7-Year Surrender-Charge Periods (9.4%, 8.5%, 7.5%, 6.5%, 5.5%, 4.5%, 3.5%)
  • $15,000 to $1,000,000 initial premium (greater amounts may be possible if pre-approved before you submit an application)
  • Additional premium accepted in first 90 days
  • Issue age1
    • MCA 3 and 5 issues to age 932
    • MCA 7 issues to age 90
  • Market Value Adjustment feature
  • Joint Owner and Joint Annuitant options
  • Surrender-Charge-Free (and MVA-Free) Withdrawal Options
    • First 30 days of each subsequent surrender charge period
    • Required minimum distribution
    • Terminal conditions3
    • Nursing home residency3
    • Death benefits
    • Annuitization
    • Plus, optional withdrawal provisions if selected at time of sale
      • Interest only withdrawal after 30 days
        • After 30 days, clients can withdraw interest earned without a surrender charge. Payments may be scheduled monthly, quarterly, semi-annually or annually.
      • 10% annual withdrawal provision
        • After the first year, clients can withdraw up to 10% of the annuity fund value per year without a surrender charge.
      • 10% annual withdrawal and Guarantee of Principal
        • After the first year, clients can withdraw up to 10% of the annuity fund value per year without a surrender charge. With the Guarantee of Principal, after day one, their payout will never be less than the total premium paid.

 

1 Maximum issue age may vary by distributor.

2 The purchase of the annuity for those age 91-93 must be for transfer-of-wealth or estate-planning purposes.

3 Applies after the first contract year.

 

Some products and rate guarantee periods available through select distribution only.

Rates may change without notice. Products of Standard Insurance Company. Product features and availability varies by state.

Sales Resources

MCA Marketing Materials

At a Glance Product Guide 

MCA Brochure 3, 5 & 7 

Sample Policies

MCA 3 Specimen Contract – Generic 

MCA 5 Specimen Contract – Generic 

MCA 7 Specimen Contract – Generic 

Florida

MCA 3 Specimen Contract – FL Specific 

MCA 5 Specimen Contract – FL Specific 

MCA 7 Specimen Contract – FL Specific 

California

MCA 3 Specimen Contract – CA Specific 

MCA 5 Specimen Contract – CA Specific 

MCA 7 Specimen Contract – CA Specific 

Effective date: 
1/1/2021

MCA 3

$15,000
$100,000
Crediting Rate
1.65
1.75
Crediting Rate Interest-Only Withdrawal
1.60
1.70
Crediting Rate 10% Withdrawal Provision
1.55
1.65
Principal Guarantee Crediting Rate
1.45
1.55

3-year repeating guarantee : 3-year repeating surrender and MVA* period

MCA 5

$15,000
$100,000
Crediting Rate
2.10
2.20
Crediting Rate Interest-Only Withdrawal
2.05
2.15
Crediting Rate 10% Withdrawal Provision
2.00
2.10
Principal Guarantee Crediting Rate
1.90
2.00

5-year repeating guarantee : 5-year repeating surrender and MVA* period

MCA 7

$15,000
$100,000
Crediting Rate
2.10
2.20
Crediting Rate Interest-Only Withdrawal
2.05
2.15
Crediting Rate 10% Withdrawal Provision
2.00
2.10
Principal Guarantee Crediting Rate
1.90
2.00

7-year repeating guarantee : 7-year repeating surrender and MVA* period

*No MVA on products sold in California.

Crediting Rate does not include an optional withdrawal provision.

Principal Guarantee Crediting Rate includes a 10% withdrawal provision.

Legal

Not for use with consumers.

Annuities are intended as long-term savings vehicles. The annuity is not guaranteed by any bank or credit union and is not insured by the FDIC or any other governmental agency. The purchase of an annuity is not a provision or condition of any bank or credit union activity. Some annuities may go down in value.

The Standard is a marketing name for Standard Insurance Company (Portland, Oregon), licensed in all states except New York. Products and availability vary by state and are solely the responsibility of Standard Insurance Company.

© 2021 StanCorp Financial Group, Inc.