Is Canvas Annuities Any Good?

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Our Review Of Canvas Annuities

Looking for retirement income solutions? Considering Canvas Annuities* as an option? In this review, we will delve into the details of Canvas Annuities, an online annuity purchasing program. We’ll explore how the program works, the types of annuities offered, and what you can expect when purchasing an annuity through Canvas. We’ll also discuss what we like and don’t like about Canvas and our recommendations.

Key Takeaways:

  • Canvas Annuities offers a convenient online platform for purchasing annuities.
  • Canvas Annuities provides access to fixed annuities and Multi-Year Guaranteed Annuities (MYGAs).
  • Canvas Annuity offers higher interest rates, appealing to those seeking better investment returns.
  • Puritan Life holds a B++ rating with A.M. Best

How Does the Canvas Annuity Program Work?

Canvas Annuity is an online platform that allows individuals to purchase annuities directly through their website. The program provides access to purchase fixed/multi-year guaranteed annuities underwritten by Puritan Life Insurance Company of America. The entire process of purchasing an annuity from Canvas can be completed online, offering convenience and ease for customers.

Canvas Annuity Review

Types of Annuities Offered by Canvas Annuity

Canvas Annuity offers a range of annuities to cater to different financial goals and preferences. The two primary types of annuities available are fixed annuities and Multi-Year Guaranteed Annuities (MYGAs). Let’s take a closer look at each option:

1. Fixed Annuities

Fixed annuities provide a stable and guaranteed minimum interest rate for earnings during the contract term. This means that you can count on a reliable income stream and the security of knowing that your earnings won’t be subject to market fluctuations. Canvas Annuity’s fixed annuities offer peace of mind and financial stability for the future.

2. Multi-Year Guaranteed Annuities (MYGAs)

MYGAs are annuities that offer guaranteed rates for a specific period, typically 3, 5, or 7 years. With a MYGA annuity from Canvas Annuity, you can enjoy the benefits of a fixed annuity while having the flexibility to reevaluate your financial needs and investment strategies at the end of the guaranteed rate period.

Canvas Annuity goes a step further in helping clients achieve their specific financial goals by offering the following annuity options:

Annuity OptionFeaturesBenefits
Future FundA fixed annuity with a guaranteed minimum interest rate– Provides long-term retirement income security
– Protects against market volatility
– Offers peace of mind for future financial stability
Flex FundA MYGA annuity with flexible access to funds– Provides guaranteed rates for a specific period
– Offers the option to access funds if needed
– Provides the flexibility to reevaluate financial needs and investment strategies
Canvas Annuities Review

Canvas Annuity Fees and Surrender Charges

Understanding the associated fees and surrender charges is crucial when considering purchasing an annuity through Canvas Annuity. While Canvas Annuity prides itself on minimal fees, customers should be aware of surrender charges that may apply if they withdraw funds before the end of the contract term.

The surrender charge schedule varies depending on the length of the contract term, with charges gradually decreasing over time. Customers must carefully evaluate their financial needs and consider the potential impact of surrender charges before investing in a Canvas Annuity.

Canvas Annuity Customer Service

Customers have generally had positive experiences with Canvas Annuity’s customer service. Representatives have been described as knowledgeable, helpful, and responsive. However, some customers have mentioned occasional difficulties in reaching customer service due to high call volumes or delays in receiving responses to inquiries. Overall, Canvas Annuity strives to provide excellent customer service to address any concerns or questions throughout the annuity purchasing process.

Canvas Annuity Ratings

When considering the purchase of an annuity, one of the most important factors is the safety and guarantees provided by the insurance company.

Canvas Annuity’s annuities are backed by Puritan Life Insurance Company of America, which has been in operation for over 75 years and holds an A.M. Best rating of B++, which is a cause for concern given its length of operation.

Canvas Annuity Reviews

What We Like

Canvas Annuity offers higher interest rates, appealing to those seeking better investment returns. Additionally, the flexibility in terms of duration, ranging from short to long-term variations, allows investors to choose a plan that best fits their financial timeline and goals.

What We Don’t Like

A point of concern is the relatively small size of their parent company, Puritan Life. Additionally, Puritan Life holds a B++ rating with A.M. Best, which may raise questions about the company’s financial stability and reliability. These factors could be significant for cautious investors.

Our Recommendations

Given the strengths and concerns, we recommend considering the 3-year or 5-year plans with Canvas Annuity. These shorter terms may offer a balance between enjoying higher interest rates and mitigating the risks associated with the parent company’s size and credit rating. However, we advise against opting for the 7-year plan, as the longer commitment may not align well with the company’s current standing.

Is Canvas Annuity Safe

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Questions From Our Readers

What is the credit rating for Canvas?

The credit rating for Canvas Annuity, which is owned by Prudential Life Company of America, reflects the creditworthiness of its parent company. Prudential Life Company of America’s long-term credit rating from A.M. Best is “BBB+.” This rating is considered “good” and indicates a moderate level of credit risk. It suggests that while the company is currently able to meet its financial obligations, it may face some uncertainties or economic conditions that could affect its financial strength in the future.

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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