Pacific Life Insurance Co. plans to introduce a guaranteed minimum withdrawal benefit rider today for its variable annuities.
The Flexible Life Income rider is designed for those entering or planning for retirement, Pacific Life said Tuesday.
The rider offers guaranteed annual withdrawals of 5% of the protected amount for life starting at age 59 and a half. This allows investors to take income at the earliest age that withdrawals are typically taken from variable annuities and many retirement plans without a tax penalty.
Flexible Lifetime Income is available with a Pacific Life variable annuity for an additional annual cost of 0.65% of the amount being protected.
Pacific Life, of Newport Beach, Calif., provides life insurance products, annuities, mutual funds, and other investment products and services to individuals, businesses, and pension plans.
