Transamerica Life Insurance Company (Transamerica) has introduced an enhanced withdrawal schedule for its Retirement Income Choice 1.2 and 1.4 riders. The new clients between ages 65 to 74 who take withdrawals can receive up to 5% of their withdrawal base annually for life, and those ages 75 and older can receive up to 6% of their withdrawal base.
The company said that the new percentages can help financial professionals aid their clients in gaining financial security in retirement. The Retirement Income Choice1.2 and 1.4 riders offer The Power of 12, an automatic reset based on clients’ Monthiversary value each year, during both accumulation and withdrawal periods.
Both the riders offer compounding 5% withdrawal base growth based on the previous year’s highest Monthiversary value. The new withdrawal schedule follows after Transamerica added 16 new investment options to its variable annuity platform in November.
Dave Paulsen, executive vice president and national sales manager for annuities at Transamerica Capital, said: “We are committed to providing competitive products and innovative retirement income solutions while prudently managing our business.
“After careful consideration, we have decided that now is the right time for a product improvement that offers individuals additional assistance in meeting their goal of achieving a comfortable retirement.”