American International Group (AIG) has launched Assured Edge Income Builder-NY, a new fixed annuity product issued by The United States Life Insurance Company in the City of New York.
It is the first fixed annuity with a guaranteed lifetime withdrawal benefit offered in New York.
Assured Edge Income Builder offers clients a low risk, long-term retirement income solution and guaranteed lifetime income.
“We are delighted to offer the state’s first fixed annuity with a guaranteed living benefit, providing New York residents with a product that brings value and customization, as well as security and flexibility, to their retirement income strategy,” said Bryan Pinsky, Senior Vice President, Individual Retirement at AIG. “We launched Assured Edge Income Builder in other states last year and investors have been drawn to the product’s multi-pronged value proposition.”
Assured Edge Income Builder is intended to offer investors an income advantage through the following features:
Lifetime Income: Clients have the flexibility to elect lifetime income immediately or in the future, while maintaining access to their principal. Once lifetime income withdrawals begin, they will continue even if the contract value is depleted to zero, unless there is an excess withdrawal.
Future income growth: An initial income percentage (used to calculate the guaranteed lifetime income amount) will automatically increase by 0.25% annually for up to 15 years – even in years in which non-lifetime income withdrawals are taken – or until clients elect to begin lifetime withdrawals … whichever comes first.
Principal protection: Investors can protect principal from market volatility with guaranteed interest rates.
“Investors have really made it clear that they want to maintain access to retirement assets, have guaranteed income for life, and stabilize their asset value,” said Michael Treske, EVP and Chief Distribution Officer, Annuities and Mutual Funds at AIG. “Assured Edge Income Builder does all this while also offering a rising income opportunity. We will continue to develop solutions for investors and as their needs evolve, so will our products.”
Assured Edge Income Builder-NY is available only in New York. The guaranteed lifetime withdrawal benefit is automatically included in the contract issue with no annual rider fee. A suite of annuity products is available in all other states issued by American General Life Insurance Company (AGL).