Allianz 365i Annuity is a solid retirement plan considers both phases of retirement:
- accumulation – when you’re saving for retirement – and
- distribution, when you start receiving retirement income.
A fixed index annuity can help you prepare for both.
Buying an annuity is one way to build your retirement assets.
The money in your annuity can grow tax-deferred, which may help your savings accumulate faster.
Annuities also offer valuable guarantees and death benefit protection.
If you surrender your contract, you’ll receive at least a guaranteed minimum value.
And because annuities are insurance products, they can give you the reassurance of knowing that your beneficiaries will get a death benefit if you pass away before you start receiving annuity payments.
Finally, annuities give you several income options once you’re ready:
- You can receive income as a single payment, as regular payments over a specific period of time, or even as income for life.
- These are just a few of the reasons why many people rely on annuities to help them achieve their long-term financial goals.
Allianz Fixed index annuities offer additional benefits.
In addition to the benefits we’ve just discussed, a fixed index annuity has the potential to earn interest based on changes in an external index.
This is different from traditional fixed annuities, in which credit interest calculated at a fixed rate set in the contract.
Because the chosen index varies daily and is not predictable, the interest you earn through a fixed index annuity could be more or less than the interest from a traditional fixed annuity.
Many fixed index annuities also let you allocate premium to a traditional fixed interest option, where interest is credited at a fixed rate.
Regardless of whether you choose a fixed interest, indexed interest, or a combination of both, an annuity’s benefits can make it a valuable part of your overall retirement strategy.
Allianz 365i offers several benefits and features that can make it a valuable part of your overall retirement strategy.
With Allianz 365i, you get:
The potential for indexed interest based on changes in a market index
- A bonus on any money you place in your annuity in the first three contract years
- Access to your full contract value, including your bonus, after 10 years
- Free withdrawals of up to 10% of your paid premium
- Flexible income options, including lifetime income.
About the premium bonus
Allianz 365i Annuity gives you a premium bonus on any money you place in your annuity within the first three contract years.
You have the flexibility of making additional premium payments until the earlier of:
- The third contract anniversary
- The date annuity payments begin We credit additional premium payments – and any associated bonuses – made during a contract year to your contract’s interim interest allocation until the following contract anniversary.
At that time, an additional premium applied to your accumulation value will be allocated based on your index and fixed interest allocations.
The bonus is vested at a rate of 10% on each contract anniversary and becomes fully vested at the beginning of the 11th contract year when 100% will be vested.
Your interest options
As a fixed index annuity, Allianz 365i gives you the potential to earn indexed interest based on changes in an external index.
You can choose from
- the S&P 500 Index,
- the Nasdaq-100 Index,
- the Russell 2000 Index,
- the Barclays US Dynamic Balance Index II, or
- a blended index that is comprised of the Dow Jones Industrial Average (35%), Barclays US Aggregate Bond Index (35%), EURO STOXX 50 Index (20%), and Russell 2000 Index (10%).
If you prefer, Allianz 365i lets you receive fixed interest instead.
Allianz calculates and credits fixed interest daily, based on the rate we establish at the beginning of each contract year.
We can raise or lower the current credited rate annually, but it will never be less than 0.10% per year.
You can also choose to receive a combination of fixed and indexed interest, or mix and match your interest allocations in increments of 1% or more.
But regardless of how you choose to receive interest, the money in your annuity is never at risk due to market index volatility.
That’s because, although external indexes may affect your contract values, the contract does not directly participate in any stock or other investments.
Once we credit any indexed interest, fixed interest, or bonus to your annuity’s values, it can never be lost due to market index volatility.
Your premium, credited interest, and bonus are never subject to market index loss. (However, if you surrender your contract before your 10th contract anniversary, we will apply a surrender charge and you will also lose the portion of the bonus that is not vested.)
Accessing your contract’s value
Free withdrawals
Each contract year you can take up to 10% of your contract’s paid premium in one or more withdrawals, free of surrender charges and penalties.
We will not apply a surrender charge or reduce your unvested bonus as long as you withdraw the money after the contract anniversary following your most recent premium payment.
If you fully surrender your contract or add premium within the same contract year of a free withdrawal, we will retroactively recalculate the free withdrawal as if it were a partial surrender.
Partial surrenders incur surrender charges and a loss of unvested bonus that is proportionate to the amount of cash surrender value you take.
This may result in the loss of all or part of your bonus and interest you have earned and a partial loss of principal.
A free withdrawal is eligible to receive indexed interest at the end of the contract year.
We base the amount of indexed interest on the applicable indexed interest rate and the length of time during that contract year that the free withdrawal amount remained in the contract.
Free withdrawals and partial surrenders will decrease the value of your contract and its death benefit.
Accessing your contract’s value If you need cash, Allianz 365i gives you several options for accessing your contract’s value.
Taking a lump-sum payout
You can receive your annuity’s full accumulation value at any time after 10 contract years. If you take out all of your contract’s value before the 10th contract anniversary you will receive the cash surrender value – which is equal to the accumulation value, minus any unvested bonus, and minus any surrender charges.
Partial surrenders incur surrender charges, and you will lose any unvested bonus in an amount that is proportional to the cash surrender you take.
Annuitization
You can choose to receive annuity payments (“annuitization”) based on your choice of several annuity options.
If after five contract years, you select a traditional annuitization option lasting at least 10 years, your annuity payments will be based on your accumulation value.
These annuity options can have certain tax advantages.
Death benefit
Allianz 365i Annuity provides a death benefit payable to your named beneficiary.
Regardless of whether your beneficiary selects to receive the death benefit as a lump-sum payment, or as annuity income payments, they will receive the greater of the contract’s accumulation value or guaranteed minimum value.
This applies only to contracts that have not yet been annuitized.
The death benefit, paid to a properly designated beneficiary (other than the estate), will pass without the costs and delays of probate.
Your death benefit can receive an enhancement.
Your beneficiary can receive a death benefit enhancement amount in addition to their accumulation value as a death benefit.
The death benefit enhancement amount is equal to 25% of all fixed and indexed interest credited throughout the life of your Allianz 365i contract.
The death benefit enhancement amount is not available if you fully surrender your Allianz 365i contract, if you annuitize, reach 100 years of age, or if the guaranteed minimum value is paid as the death benefit.
The death benefit enhancement amount will be decreased by any penalty-free partial surrender or partial surrender with a penalty.
This decrease will be proportional to the decrease in the accumulation value.
Why consider the Allianz 365i Annuity?
Allianz 365i may be a good addition to your overall retirement portfolio if you want a premium bonus, the potential for indexed interest, and don’t plan to receive retirement income right away.
- 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
Allianz 365i Annuity offers you:
- The potential for indexed interest based on changes in a market index
- A bonus on any money you place in your annuity in the first three contract years
- Access to your full contract value, including your bonus, after 10 years
- Free withdrawals of up to 10% of your paid premium
- Flexible income options, including lifetime income
Note* This annuity is no longer in production. For research purposes only.
Life Insurance Alternative
If you’re seeking to enhance a death benefit for estate planning purposes, also shop and compare life insurance quotes too. It’s rare we don’t find a solution. Life Insurance is tax-free for beneficiaries while annuities are tax-deferred for beneficiaries.
