Our Professional Opinion on the Ibexis MYGA Plus
We recommend considering the Ibexis MYGA Plus, but this is not a normal plain-vanilla MYGA. Ibexis is rated A- by AM Best with a stable outlook, so the company meets our minimum financial-strength standard.
MYGA Plus is available in 3-, 5-, and 7-year terms. At least half of the premium must go into the traditional guaranteed fixed option. The remaining portion can be allocated to an index-linked option tied to the S&P 500.
That index-linked option is the reason this product is different. If the S&P 500 finishes the annual measurement higher than the prior year’s value, that portion can receive a higher declared interest rate than the fixed option. It is essentially an annual trigger-style feature inside a MYGA-style contract.
We like the concept for someone who wants most of the simplicity of a fixed annuity but would like part of the contract to have an opportunity for a higher credit. The index-linked feature should not distract you from the main question: how competitive is the guaranteed fixed rate?
If your only goal is guaranteed fixed growth, compare the MYGA portion directly with traditional MYGAs. If another A- or better-rated company guarantees more for the same term, we would not use Ibexis just because it has the index-linked feature.
We are in a high-interest-rate environment, so the 5- or 7-year term can make sense if the guaranteed fixed rate is competitive and you can leave the money alone. The 3-year term is better when flexibility matters more.
Liquidity is decent but not exceptional. Normal percentage-based withdrawals begin after the first contract anniversary, and qualified contracts receive favorable RMD treatment. The contract also includes health-related waivers and a full account-value death benefit.
The renewal provision is something to watch. If you renew into another guarantee period, a new surrender-charge schedule and MVA apply. Do not leave the contract on autopilot at maturity.
Bottom line: MYGA Plus is a good niche product for someone who specifically wants a guaranteed fixed base plus an index-linked interest feature. If you simply want the highest guaranteed MYGA rate, compare it like any other fixed annuity and choose the stronger guaranteed return.
Compare Ibexis MYGA Plus with the current fixed annuity rates before purchasing.
What We Like
- A- AM Best Rating With Stable Outlook: Ibexis meets our minimum financial-strength standard.
- 3-, 5-, and 7-Year Terms: The contract offers useful short- and intermediate-term choices.
- Guaranteed Fixed Base: At least half of the premium remains in the traditional MYGA fixed option.
- Index-Linked Opportunity: Part of the contract can earn a higher declared rate when the S&P 500 satisfies the annual trigger.
- Annual Access After Year One: A percentage of the prior anniversary value is generally available without normal surrender charges.
- Health-Related Waivers: Extended-care and terminal-illness provisions can provide additional access.
- Full Account-Value Death Benefit: Beneficiaries receive the contract value without normal surrender charges or MVA.
What We Don’t Like
- More Complicated Than a Normal MYGA: The index-linked feature adds another decision that many fixed-annuity buyers do not need.
- Minimum 50% Fixed Allocation: The entire premium cannot be placed into the index-linked option.
- Index-Linked Rate Is Conditional: The higher declared rate depends on the annual S&P 500 trigger being met.
- No Normal First-Year Percentage Withdrawal: Standard free withdrawals begin after the first contract anniversary.
- Renewal Restarts Charges: A new guarantee period comes with a new surrender schedule and MVA.
Compare Fixed and Index-Linked Yield Options to Maximize Growth Without Market Risk
Overview
The Ibexis MYGA Plus™ is a single-premium, deferred annuity that blends the safety of a traditional multi-year guaranteed annuity (MYGA) with optional upside through a simple index-linked interest strategy. This product offers 3-, 5-, and 7-year terms with interest rate guarantees and allows up to 50% of your premium to be allocated to an S&P 500®-linked account, offering potential for higher yields, while preserving principal. The product is fully principal-protected, and its unique hybrid structure makes it attractive for yield-focused, conservative investors.
Product Type
- Annuity Type: Fixed annuity with optional index-linked feature (MYGA Hybrid)
- Issuer: Ibexis Life & Annuity Insurance Company
- AM Best Rating: A- (“Excellent”) with Stable Outlook
- Use Case: Safe accumulation, principal protection, hybrid interest growth
- Income Option: Annuitization only (no GLWB)
Funding Options
You can fund this annuity with:
- Qualified funds: IRA, Roth IRA, SEP, SIMPLE
- Non-qualified funds: Bank savings, matured CDs, brokerage, 1035 exchanges
Surrender Charges
| Term | Surrender Charges (CDSC) |
|---|---|
| 3-Year | 7.75%, 7.5%, 7.25% |
| 5-Year | 7.75%, 7.5%, 7.25%, 7%, 6% |
| 7-Year | 7.75%, 7.5%, 7.25%, 7%, 6%, 5%, 4% |
Withdrawals during the term above the penalty-free allowance may also be subject to a Market Value Adjustment (MVA) and IRS penalties if under age 59½.
How MYGA Plus™ Works
The annuity allows you to allocate your single premium in one of two ways, or split the allocation up to 50/50:
- Multi-Year Guaranteed Fixed Option
- Pays a guaranteed, simple interest rate for the selected 3-, 5-, or 7-year term.
- Interest rate is locked in and does not change.
- Index-Linked Option (S&P 500®)
- Pays a higher rate of interest if the index value at the end of each year exceeds the prior year’s value.
- Does not compound, but provides annual coupon if the index rises.
- Performance caps may apply and are declared at issue.
Note: The allocation mix must be chosen at issue and cannot be changed later. Both interest rates are guaranteed for the full term, and regardless of index performance, your principal is 100% protected.
Example
A client deposits $100,000 using a 50/50 allocation:
- $50,000 in the Fixed Option at 4.25%
- $50,000 in the Index-Linked Option with a 5.75% annual coupon (hypothetical)
If the index rises 4 of the 5 years, the indexed account credits interest 4 times. By the end of the 5-year term, the client earns $122,125, yielding 4.43% annually, higher than if they had chosen only the fixed option.
What Happens After the Term Ends?
Once your selected 3-, 5-, or 7-year term ends, you can:
- Withdraw 100% Penalty-Free: Take your funds and walk away without surrender charges or MVA.
- Renew: You may have the option to renew at current rates, but those rates are not guaranteed.
- Transfer via 1035 Exchange: Move the funds tax-free to another annuity, especially if you want lifetime income options.
- Annuitize: Begin regular income payments for a fixed period or life, but this is not recommended due to lack of flexibility and irreversible nature.
Important: If no action is taken, Ibexis may automatically renew your contract. Always review your post-term options in advance.
Why Comparing Annuities Matters
While the Ibexis MYGA Plus offers flexibility and potential yield enhancement, other annuities might:
- Offer higher fixed interest rates without index-linked complexity
- Provide GLWB income riders for guaranteed lifetime income
- Include better liquidity options or lower surrender charges
- Be issued by carriers with higher Comdex rankings or longer histories
Comparing across top-rated MYGAs and fixed indexed annuities ensures you’re maximizing return potential while meeting income or liquidity needs.
Pros and Cons
Pros
- Hybrid interest strategy: fixed + index-linked
- Strong A- AM Best rating
- 100% principal guarantee
- Index option offers higher potential returns
- Simple, low-risk product design
Cons
- No GLWB or income rider
- Surrender charges apply for early withdrawals
- No reallocation of funds after issue
- Indexed coupon does not compound
- No guaranteed lifetime income or inflation protection
Who Should Consider the Ibexis MYGA Plus?
Best for:
- Pre-retirees or conservative investors seeking principal-protected growth
- Savers who want higher potential yield without market downside
- Individuals who won’t need liquidity for 3–7 years
- Those diversifying outside of CDs or bonds with tax-deferred accumulation
Not ideal for:
- Retirees needing guaranteed lifetime income—this product lacks a GLWB
- Clients under age 59½ without a long-term plan (IRS penalties apply)
- Investors who want ongoing rebalancing or tactical management of index allocations
- Anyone needing frequent or penalty-free liquidity beyond annual interest
Final Verdict
Is the Ibexis MYGA Plus a good annuity?
Yes—for conservative savers looking to safely grow money over 3 to 7 years with the option to enhance returns through S&P 500-linked interest. It’s a good hybrid solution if you’re not interested in market risk but want better yields than traditional MYGAs. However, it’s not a retirement income solution—so if guaranteed lifetime withdrawals are your priority, look elsewhere.
Compare the Best Hybrid Annuities for Growth and Safety
Let The Annuity Expert help you compare the Ibexis MYGA Plus with other top-rated annuities—fixed, indexed, and income-focused.
Contact us now for free quotes to buy the right annuity coverage.
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Let Us Answer Your Questions
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Take Compare Fixed and Index-Linked Yield Options to Maximize Growth Without Market Risk
Overview
The Ibexis MYGA Plus™ is a single-premium, deferred annuity that blends the safety of a traditional multi-year guaranteed annuity (MYGA) with optional upside through a simple index-linked interest strategy. This product offers 3-, 5-, and 7-year terms with interest rate guarantees and allows up to 50% of your premium to be allocated to an S&P 500®-linked account, offering potential for higher yields, while preserving principal. The product is fully principal-protected, and its unique hybrid structure makes it attractive for yield-focused, conservative investors.
Product Type
- Annuity Type: Fixed annuity with optional index-linked feature (MYGA Hybrid)
- Issuer: Ibexis Life & Annuity Insurance Company
- AM Best Rating: A- (“Excellent”) with Stable Outlook
- Use Case: Safe accumulation, principal protection, hybrid interest growth
- Income Option: Annuitization only (no GLWB)
Funding Options
You can fund this annuity with:
- Qualified funds: IRA, Roth IRA, SEP, SIMPLE
- Non-qualified funds: Bank savings, matured CDs, brokerage, 1035 exchanges
Surrender Charges
| Term | Surrender Charges (CDSC) |
|---|---|
| 3-Year | 7.75%, 7.5%, 7.25% |
| 5-Year | 7.75%, 7.5%, 7.25%, 7%, 6% |
| 7-Year | 7.75%, 7.5%, 7.25%, 7%, 6%, 5%, 4% |
Withdrawals during the term above the penalty-free allowance may also be subject to a Market Value Adjustment (MVA) and IRS penalties if under age 59½.
How MYGA Plus™ Works
The annuity allows you to allocate your single premium in one of two ways, or split the allocation up to 50/50:
- Multi-Year Guaranteed Fixed Option
- Pays a guaranteed, simple interest rate for the selected 3-, 5-, or 7-year term.
- Interest rate is locked in and does not change.
- Index-Linked Option (S&P 500®)
- Pays a higher rate of interest if the index value at the end of each year exceeds the prior year’s value.
- Does not compound, but provides annual coupon if the index rises.
- Performance caps may apply and are declared at issue.
Note: The allocation mix must be chosen at issue and cannot be changed later. Both interest rates are guaranteed for the full term, and regardless of index performance, your principal is 100% protected.
Example
A client deposits $100,000 using a 50/50 allocation:
- $50,000 in the Fixed Option at 4.25%
- $50,000 in the Index-Linked Option with a 5.75% annual coupon (hypothetical)
If the index rises 4 of the 5 years, the indexed account credits interest 4 times. By the end of the 5-year term, the client earns $122,125, yielding 4.43% annually, higher than if they had chosen only the fixed option.
What Happens After the Term Ends?
Once your selected 3-, 5-, or 7-year term ends, you can:
- Withdraw 100% Penalty-Free: Take your funds and walk away without surrender charges or MVA.
- Renew: You may have the option to renew at current rates, but those rates are not guaranteed.
- Transfer via 1035 Exchange: Move the funds tax-free to another annuity, especially if you want lifetime income options.
- Annuitize: Begin regular income payments for a fixed period or life, but this is not recommended due to lack of flexibility and irreversible nature.
Important: If no action is taken, Ibexis may automatically renew your contract. Always review your post-term options in advance.
Why Comparing Annuities Matters
While the Ibexis MYGA Plus offers flexibility and potential yield enhancement, other annuities might:
- Offer higher fixed interest rates without index-linked complexity
- Provide GLWB income riders for guaranteed lifetime income
- Include better liquidity options or lower surrender charges
- Be issued by carriers with higher Comdex rankings or longer histories
Comparing across top-rated MYGAs and fixed indexed annuities ensures you’re maximizing return potential while meeting income or liquidity needs.
Pros and Cons
Pros
- Hybrid interest strategy: fixed + index-linked
- Strong A- AM Best rating
- 100% principal guarantee
- Index option offers higher potential returns
- Simple, low-risk product design
Cons
- No GLWB or income rider
- Surrender charges apply for early withdrawals
- No reallocation of funds after issue
- Indexed coupon does not compound
- No guaranteed lifetime income or inflation protection
Who Should Consider the Ibexis MYGA Plus?
Best for:
- Pre-retirees or conservative investors seeking principal-protected growth
- Savers who want higher potential yield without market downside
- Individuals who won’t need liquidity for 3–7 years
- Those diversifying outside of CDs or bonds with tax-deferred accumulation
Not ideal for:
- Retirees needing guaranteed lifetime income—this product lacks a GLWB
- Clients under age 59½ without a long-term plan (IRS penalties apply)
- Investors who want ongoing rebalancing or tactical management of index allocations
- Anyone needing frequent or penalty-free liquidity beyond annual interest
Final Verdict
Is the Ibexis MYGA Plus a good annuity?
Yes—for conservative savers looking to safely grow money over 3 to 7 years with the option to enhance returns through S&P 500-linked interest. It’s a good hybrid solution if you’re not interested in market risk but want better yields than traditional MYGAs. However, it’s not a retirement income solution—so if guaranteed lifetime withdrawals are your priority, look elsewhere.
Compare the Best Hybrid Annuities for Growth and Safety
Let The Annuity Expert help you compare the Ibexis MYGA Plus with other top-rated annuities—fixed, indexed, and income-focused.
Contact us now for free quotes to buy the right annuity coverage.
Book A Free Consultation
Get help from a licensed financial professional. This service is free of charge.
Let Us Answer Your Questions
Not quite ready for a meeting, but you have a question that needs answering? We’re happy to help. Leave an inquiry below, and one of our staff will respond via email.