Our Professional Opinion on the Symetra Select Max MYGA
We recommend the Symetra Select Max MYGA when its guaranteed rate is competitive and you are comfortable limiting normal withdrawals to credited interest during the guarantee period.
Symetra is a good annuity company. It is rated A by AM Best and comfortably meets our minimum financial-strength standard.
Select Max is available in 3-, 5-, and 7-year terms. We are currently in a high-interest-rate environment, so the 5- or 7-year version can make sense when the rate is competitive and you do not need the principal. Locking the rate for longer reduces the risk of a short contract maturing after MYGA rates have fallen.
The defining feature is the tradeoff between rate and liquidity. Select Max generally pays more than the more liquid Select Pro design, but normal penalty-free access is limited to accumulated interest. If you need principal during the surrender period, surrender charges and a Market Value Adjustment can apply.
That makes Select Max a better fit for money you genuinely intend to leave untouched. Someone who expects to take annual principal withdrawals should compare Select Pro or another MYGA with percentage-based access.
We like that Symetra allows additional purchase payments during the first contract year, provides a standard account-value death benefit, permits spousal continuation, and includes nursing-home, hospitalization, and terminal-illness waivers where available. Those waivers improve access to your existing money, but they are not long-term care insurance.
Another positive is what happens after the initial guarantee period. The contract moves to an annually declared rate rather than automatically restarting another multi-year surrender schedule. That gives you full flexibility to compare the market and move the money if Symetra’s renewal rate is not competitive.
Select Max does not provide a contractual return-of-premium feature. If early principal access is a real concern, do not buy the contract based solely on the higher rate.
Bottom line: Select Max is a good accumulation MYGA for someone who wants a competitive fixed rate and does not need normal access to principal. If the additional rate over a more liquid MYGA is small, we would keep the stronger liquidity instead.
Compare Select Max with the current fixed annuity rates before choosing the 3-, 5-, or 7-year term.
What We Like
- A-Rated Insurance Company: Symetra comfortably exceeds our A- minimum.
- 3-, 5-, and 7-Year Terms: Buyers can choose between flexibility and a longer rate lock.
- Designed for a Stronger Rate: Select Max can be attractive when accumulation matters more than principal liquidity.
- Interest Withdrawals: Accumulated interest can generally be withdrawn without normal surrender charges or an MVA.
- Additional First-Year Premiums: The contract can accept additional purchase payments during the first year.
- Account-Value Death Benefit and Spousal Continuation: Beneficiaries receive the applicable contract value, and an eligible spouse may continue the annuity.
- No Automatic Multi-Year Re-Lock: After the initial term, the contract uses an annually declared rate rather than silently starting another long surrender schedule.
What We Don’t Like
- Interest-Only Normal Liquidity: The contract does not provide a standard annual percentage withdrawal from principal during the guarantee period.
- Market Value Adjustment: Early principal withdrawals can be increased or reduced by the MVA.
- No Return of Premium: An early full surrender can return less than the original deposit.
- Longer Terms Require Real Commitment: The 7-year version only makes sense when the principal will not be needed.
- The Rate Advantage Must Matter: We would not give up better liquidity for only a small increase in the guaranteed rate.
Key Features Explained
- Guaranteed Fixed Interest for 3, 5, or 7 Years – You lock in a fixed interest rate for a chosen term, making this product attractive for risk-averse savers. After the term ends, the rate resets annually, but cannot drop below the contractual minimum.
- Modified Single Premium – You can add payments of $1,000 or more during the first year—this gives flexibility many MYGAs don’t allow.
- Waiver Benefits – Symetra includes the following penalty-free access under qualifying conditions:
- Nursing home or hospitalization stay of 30+ consecutive days (not available in CA)
- Terminal illness diagnosis (not available in all states)
- Required Minimum Distributions (RMDs) from qualified accounts
- Liquidity Provisions
- Free withdrawal of accumulated interest each year
- Waivers apply after year 1 (for medical situations)
- Market Value Adjustment (MVA) applies on excess withdrawals (except in CA)
- Death Benefit – Upon death, beneficiaries receive the greater of:
- The contract value (no withdrawal charges or MVA applied)
- The cash surrender value (includes surrender and MVA reductions)
- The guaranteed minimum value
- Annuitization Option – Income can be taken over a fixed period, for life, or for joint lifetimes. While this provides a lifetime stream of income, we don’t recommend annuitization—it’s irrevocable. We prefer guaranteed lifetime withdrawal benefits (GLWBs) when available.
Carrier Overview
Symetra Life Insurance Company
- Founded: 1957
- Website: www.symetra.com
- AM Best Rating: A (Excellent)
What Happens After The Annuity’s Term Is Complete?
Once your 3-, 5-, or 7-year term ends:
- You’ll enter a renewal phase with a new rate determined annually.
- You have a 30-day window to withdraw or transfer funds penalty-free.
- If you keep the funds in place, the new rate will never drop below the minimum guaranteed rate.
The Importance Of Comparing Annuity Products
Symetra Select Max may be a good option, but it’s not the only one. Before committing:
- Compare it to other MYGAs offering higher guaranteed rates or more liquidity.
- Review financial strength ratings and MVA terms (if applicable).
- Ask if there are GLWB options—Symetra doesn’t offer one on this product, which limits retirement income planning flexibility.
Using a broker like The Annuity Expert ensures you aren’t missing better alternatives from other A-rated carriers.
Who This Annuity Is For
✅ Good Fit For:
- Conservative savers seeking predictable, guaranteed growth
- Retirees or near-retirees not needing immediate access to funds
- People funding with cash, IRA, Roth IRA, or trust assets
❌ Not Ideal For:
- Investors wanting stock market upside or inflation protection
- People under 59½ needing penalty-free access before retirement
- Those looking for lifetime income from a GLWB rider (not available here)
Other Insurance or Annuities to Consider
If your goal is long-term income:
- A Fixed Index Annuity (FIA) with a GLWB provides guaranteed lifetime income and some market upside with no downside risk.
- Consider term or permanent life insurance to protect your estate or to offset liquidity restrictions from annuities.
- Standalone long-term care annuities can be a better fit than relying on waiver riders.
Funding Options
You can fund Symetra Select Max with:
- Nonqualified funds (personal savings)
- Traditional IRA
- Roth IRA
- Trust-owned funds (natural and non-natural persons accepted)
Pros & Cons
Pros
- Guaranteed interest rate for 3, 5, or 7 years
- Waiver benefits and free interest withdrawals
- Strong death benefit options and spousal continuation
- Allows additional funding during the first year
Cons
- No GLWB rider for lifetime income
- MVA applies in most states
- Interest rate drops after the initial term
- Surrender charges apply beyond the free withdrawal limit
Final Verdict
Symetra Select Max is a solid, simple MYGA for accumulation-focused buyers who want predictable returns. However, if your goal is lifetime income or stronger withdrawal features, other products with GLWB riders or enhanced liquidity may better serve your needs. Contact The Annuity Expert for a free quote and unbiased comparison before you buy. We’ll make sure you get the best deal available—without sacrificing benefits.
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