Increasing Income Rider FIA

“Increasing” income rider for FIAs

            We have recently completed our review of what most advisors are not aware of which is a product with an increasing income rider. Let us just tell you how this product works because it is quite a bit different than level income products in the marketplace.

            We will not explain the numbers due to space issue, but you can download a 5-page client summary created by Roccy DeFrancesco for advisors who are selling this somewhat confusing product to give to their clients. To download this summary, please click here. 

             If you would like to start selling this very powerful product, please e-mail info@ecalife.com.

            1) The guarantee is the highest of 4% OR whatever the FIA product actually credits each year.  Every year the insurance company determines what the actual account value is credited with. If that amount is more than 4%, that amount will be credited to the guaranteed roll up/accumulation account (which is used to calculate the GIB). 

            2) When the income phase is started, the annuity owner will start with a base income payment just like a level payment product.  However, every year that the actual account value in the FIA is credited with a positive return, the income payment will increase by the same percentage return.

            For example, if the income stream starts at $61,965 (the same as the level product example) and in year two the actual index was credited with a 5% return, the next year’s income benefit from this product would be $61,965 x 5% = $3,098 + $61,965 = $65,063.

            Once the income payment increases (which it can do in every year), the payment will never go backwards. 

            This one of the most powerful riders in the industry and we strongly recommend you learn about and start using it to grow your business and earn more money.

GIB Rider Software

           ECA has access to the only calculator in the industry that can illustrate normal “level” income rider FIAs but also this new and very powerful “increasing” income rider.

           If you’d like to sign up to view a video of how the calculator works, please click here.

           The following are charts from the calculator that will help you communicate the power of this product to your clients. Chart 1 shows the income increasing with a hypothetical return and Chart 2 shows the actual account balances with the fees in any given year (that will pass to the heirs upon death).

            If you would like to use this software for FREE, please contact info@ecalife.com.