Prudential Annuities, the domestic annuity business for Prudential Financial, is planning to expand its array of variable annuity optional living benefits by launching new options that can capture an annuity's highest daily value.
Highest Daily Lifetime Seven and Spousal Highest Daily Lifetime Seven are variable annuity optional living benefits that offer a protected withdrawal value based on 7% annual compounded growth on the highest daily account value and daily opportunities to capture greater lifetime income with a 5%-8% income stream, depending on age at first withdrawal, guaranteed for life.
Highest Daily Guaranteed Return Option (HD GRO) is an optional accumulation benefit that can offer protection of a guaranteed minimum account value and the opportunity to automatically lock in the annuity’s highest daily value.
According to Prudential Annuities, HD Lifetime Seven and Spousal HD Lifetime Seven, which build on the success of Highest Daily Lifetime Five and will replace this benefit in all states where the two new options are approved, offer investors the opportunity to increase their annuities’ income potential every day the market is open-up to 250 times a year.
David Odenath, president of Prudential Annuities, said: The subsequent launch of Highest Daily Lifetime Five and today’s announcement of Highest Daily Lifetime Seven not only demonstrates our steadfast commitment to helping Americans plan for a successful retirement, but makes us the only company able to offer optional benefits that can guarantee an annuity’s highest daily value. It’s a title we’re extremely proud to hold.