10 percent premium bonus

Average: 5 (1 vote)

This indexed annuity comes with a 10 percent premium bonus that is paid during the first 5 years of the contract.

The 10 percent premium bonus is applied to all premiums paid by the annuity owner during the first 5 years.

Also should be noted that the premium bonus only applies to funds that are annuitized by the owner--not to any withdrawals.

I think the 10 percent level is at the upper range of what is offered in the indexed market.

This level of bonus or credit should be considered meaningful since fixed income returns and yields on almost all investments are in the 1 - 4 percent range.