Additionally, if you have a client who is invested in an annuity with a GMIB
, we'll examine their choices (i.
In the case of both GMIBs
and GMWBs, many annuity companies will restrict the subaccount investments available in such contracts when these riders are selected.
In transferring the assets to MetLife with its new GMIB
Max rider, Nabors' client began taking 6% annualized distributions for life, as the contract allowed.
The client may thus decide that a GMIB
rider on a VA is a better deal than a CDA, even if the VA comes at a higher expense.
For example, unlike many of the direct contracts that contain GMIB
benefits, contracts to reinsure GM1B benefits often meet the definition of a derivative under FASB Statement No.
As of January, the rollup rate on our GMIB
Max product will be reduced from 5.
MetLife is among those aiming to fill the void with GMIB
Plus III, an RMD-friendly guaranteed minimum income benefit with a base that steps up by the greater of 5 percent or the RMD amount.
The second popular rider is the guaranteed minimum income benefit, or the GMIB
riders annually lock in the higher of market gains or roll-ups, while the latter does the same for the death benefit.
ensures a minimal annuity payment, not just an annuity rate.