[Narrator] What are you planning for in retirement?
What do you see for yourself in the years ahead?
What are you anticipating? Relaxation, recreation, more time with family and friends.
Sounds great, but you also need to plan for the possibilities of higher living costs, higher taxes, and greater medical expenses.
And given the uncertainty about Social Security benefits in the future, well, these days everyone should be thinking about building up more money for retirement.
That's the advantage of Allianz 360℠ Annuity with the 360 Benefit rider, designed with three income-building features that can help you live the kind of retirement you want.
How does it do this?
[On-screen disclosure] Annuities are long-term contracts designed for retirement, so there may be fees or penalties – surrender charges and market value adjustments (MVAs) – if you take money out early. Any distributions are subject to ordinary income tax and, if taken prior to age 59½, a 10% federal additional tax. [End of on-screen disclosure]
[On-screen disclosure] With the purchase of any additional-cost riders, the contract’s value will be reduced by the cost of the rider. This may result in a loss of principal and interest in any year in which the contract does not earn interest or earns interest in an amount less than the rider charge. [End of on-screen disclosure]
[On-screen disclosure] Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America. [End of on-screen disclosure]
Well, simply put, an annuity is a contract between you and an insurance company designed to help you reach long-term financial goals.
In return for your purchase payment, you receive benefits and guarantees, including tax deferral, accumulation potential, guaranteed income payments to you at some point in the future, and a death benefit for your beneficiaries during the annuity's accumulation phase.
Those are the basics of any annuity, but Allianz 360℠ with the 360 Benefit rider, included for an additional cost, also provides these powerful income-building features.
[On-screen disclosure] There is an annual charge for the 360 Benefit rider based on the contract’s accumulation value. You can cancel the 360 Benefit rider any time after the fifth contract year. Once you terminate the 360 Benefit rider, it may not be reinstated. [End of on-screen disclosure]
First, Allianz 360℠ with the 360 Benefit gives any interest you earn an interest bonus to help your money accumulate faster.
[On-screen disclosure] Bonus annuities may include higher surrender charges, longer surrender charge periods, lower interest rates, lower caps, higher spreads, or other restrictions that are not included in similar annuities that don't offer a bonus feature. [End of on-screen disclosure]
So how does it earn interest?
[On-screen disclosure] This example represents hypothetical market index performance. It represents no specific time period. Your actual results may vary. With any additional-cost riders, the accumulation value, and in some instances, the guaranteed minimum value, will be reduced by the cost of the rider. This may result in a reduction of your principal in any year in which the contract does not earn interest or earns interest in an amount less than the rider charge. [End of on-screen disclosure]
[On-screen disclosure] Interest earned, while based on positive changes in an index, is limited by caps and/or spreads of the crediting method, which can vary by year. [End of on-screen disclosure]
[On-screen disclosure] Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America. [End of on-screen disclosure]
Well, as a type of annuity called a fixed index annuity, Allianz 360℠ gives your money the opportunity to earn interest based on the growth of one or more external market indexes and the crediting method you've selected.
Your annuity tracks the performance of these external market indexes, but at no time is your money actually invested in the market.
At the end of each annual or multi-year crediting period, if the external index and crediting method you've selected shows an increase, you can receive interest.
So your accumulation value, the amount of money that's available for your retirement, goes up.
And any time you receive interest, it's locked in.
Even if the market takes a drop, that loss won't affect your accumulation value, though rider charges will still be deducted.
And thanks to our annual and multi-year reset feature, your index doesn't have to make up any losses before you can start earning more interest.
Any crediting period that your index value goes up, your accumulation value goes up, too.
And that's where the bonus comes in.
Allianz 360℠ applies this interest bonus to any interest you've earned.
For example, if your annuity earned 4% interest in a crediting period, you would also get this additional interest bonus.
[On-screen disclosure] This example represents hypothetical market index performance. [End of on-screen disclosure]
[On-screen disclosure] It represents no specific time period. Your actual results may vary. With any additional-cost riders, the accumulation value, and in some instances, the guaranteed minimum value, will be reduced by the cost of the rider. This may result is a reduction of your principal in any year in which the contract does not earn interest or earns interest in an amount less than the rider charge. [End of on-screen disclosure]
So for that crediting period, your annuity's value would grow by this much.
Pretty great, isn't it?
Any crediting period that your annuity earns interest, you get this interest bonus, and this continues until you start taking lifetime income withdrawals or annuitization payments, surrender your contract, or terminate the 360 Benefit rider.
[On-screen disclosure] You can cancel the 360 Benefit rider anytime after the fifth contract year. Once you terminate the 360 Benefit rider, it may not be reinstated. [End of on-screen disclosure]
And just as before, your total interest is locked in and can never be reduced by a drop in the market.
[On-screen disclosure] Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America. [End of on-screen disclosure]
Keep in mind that it's also possible that your contract may not earn interest in a given year.
And if that's the case, there would be no bonus credited.
But now, let's talk about when you're ready for income.
One of the options available to you beginning at age 50 is taking lifetime income withdrawals.
And that brings us to the second way that Allianz 360℠ and the 360 Benefit can help you build your retirement income by rewarding you for waiting before starting your income withdrawals.
After age 40, every year that you wait before beginning lifetime withdrawals, your lifetime withdrawal percentage goes up a little more, year by year, until you start your income withdrawals.
So the longer you hold off taking income, the higher that income is guaranteed to be for the rest of your life. And that's still not all.
Whatever your lifetime withdrawal percentage is when you begin taking income withdrawals, the 360 Benefit gives you a third way to potentially build more income by choosing lifetime withdrawals with the potential to increase.
With this option, at the end of each contract year, if one of the external market indexes you've selected earns interest, you can get an increase in your income payment, and that becomes your new income payment.
[On-screen disclosure] Withdrawals in excess of the allowable amount will reduce the contract value and the amount of any income payments and protection benefits. [End of on-screen disclosure]
You're guaranteed to receive that higher amount for the rest of your life, unless the market goes up again, and then you'll receive that new higher amount, and so on.
You also have the option of level lifetime income withdrawals.
These withdrawals begin at a slightly higher percentage than withdrawals under the increasing income option, and will remain at this same consistent amount for as long as you live.
So, to recap, with Allianz 360℠ and the 360 Benefit, you get an interest bonus to help your money accumulate faster, a lifetime withdrawal percentage that increases year by year starting at age 40 until you start taking withdrawals, and the option of lifetime income withdrawals that can increase based on growth in the external indexes you've selected.
That's three ways to build income for your future.
Three ways to have more money for the things you hope to do.
Three ways to help you have a great retirement.
To find out more about Allianz 360℠ and the 360 Benefit rider, talk to your financial professional.
You can also learn more about fixed index annuities and their features at AllianzLife.com.
[On-screen disclosures]
This content is general information for educational purposes, and is not intended to constitute fiduciary advice. Please consult your financial professional for a specific recommendation about purchasing this product.
During the first 10 contract years, we will apply a surrender charge and a market value adjustment (MVA) if you partially or fully surrender your contract (not including 10% free withdrawals and required minimum distributions). The same would apply if you begin annuitization, which means receiving regular annuity payments over a specified period of time, prior to the sixth contract year (or for fewer than 10 years). These charges may result in a loss of bonus, indexed interest and fixed interest, and a partial loss of principal (your premium). Surrender charges will decrease the interest bonus. Bonus annuities may include higher surrender charges, longer surrender charge periods, lower caps, higher spreads, or other restrictions that are not included in similar annuities that don’t offer a bonus feature.
Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America.
Distributions are subject to ordinary income tax and, if taken prior to age 59½, a 10% federal additional tax.
C54370-MVA is issued by Allianz Life Insurance Company of North America.
Product and feature availability may vary by state and broker/dealer.
• Not FDIC insured • May lose value • No bank or credit union guarantee • Not a deposit • Not insured by any federal government agency or NCUA/NCUSIF
M-6000 (R 6/2021)
[End of on-screen disclosures]
