Great American Safe Return is a 10-year fixed-indexed annuity from Great American Life Insurance Company that offers:
- Growth opportunity: You can allocate your money to interest strategies that may help you accumulate more assets for retirement.
- Protection from a loss: Regardless of market conditions, you won’t lose the money you contribute to your annuity unless you take a withdrawal or surrender your contract during its early withdrawal charge period.
- Return of premium guarantee: You can have the extra flexibility you may be seeking, knowing that if the unexpected occurs, you can surrender your annuity and receive your purchase payments, less the sum of prior withdrawals, and any applicable rider charges.
- Guaranteed retirement income: When you’re ready to turn the money you’ve accumulated in your annuity into retirement income, you can select from a variety of payout options, including an income stream that will last for the rest of your life.
Annuity Basics
Simply put, an annuity is a contract between you and an insurance company. It is a long-term financial vehicle that’s designed to protect and grow your money, and then provide a stream of income during your retirement.
In fact, other than pensions, annuities are the only products that provide guaranteed lifetime income.
Pick Your Path To Growth
Fixed-indexed annuities offer multiple interest strategies to help you build your savings.
- Indexed strategies offer you the unique opportunity to earn interest based, in part, on market performance without the risk of market loss.
- A declared rate strategy allows you to grow your money at a fixed interest rate that is set at the beginning of each one-year term.
You have the flexibility to choose the strategies that are right for you. We know your needs may change over time, so you can revisit your strategy selections at the end of each one-year term.
How Do Indexed Strategies Work?
It’s simple.
Funds in an indexed strategy earn interest-based, in part, on the positive performance of an external index, such as the S&P 500. Interest is credited on the last day of each one-year term and is guaranteed to never be less than 0%.
The Great American Safe Return annuity offers point-to-point indexed strategies.
The point-to-point strategies compare the closing value of an index at the end of a one-year term to the closing value on the first day of the term. If the result is positive, interest is credited. If the result is negative, the credited interest rate is 0%. The amount of interest credited at the end of the term is limited by either a cap or a participation rate.
- A cap is the maximum interest rate that will be credited for a one-year term.
- A participation rate is the percentage of a positive index change that will be credited for a one-year term.
Bailout Feature
Safe Return offers a bailout feature that allows you to withdraw your money from an indexed strategy without incurring an early withdrawal charge if its cap or participation rate falls below its bailout rate.
Features and Benefits
The tax treatment that allows faster growth
You don’t pay taxes on the interest your contract earns until you start receiving payments or take a withdrawal, so your money can grow at a faster rate than it would in a taxable product.
Guaranteed retirement income
With the average retirement lasting 18 years, you may worry about outliving your savings. The Safe Return provides the opportunity to turn the money you’ve accumulated in your annuity into a steady stream of retirement income.
Depending on which payout option you choose, income benefit payments are made for a specific number of years or for life.
Protection for your loved ones
No one likes to think about it, but part of achieving peace of mind is knowing what would happen to your money if you pass away unexpectedly.
With the Safe Return, any death benefit is paid directly to your beneficiaries, which allows them to receive your financial legacy without the cost and delays of probate.
Great American Life Insurance is also an inexpensive way to leave a death benefit for beneficiaries, tax-free.
Return of Premium
The amount payable upon surrender, applied to the annuity benefit or payable as the death benefit will never be less than the return of premium guarantee.
The return of premium value is the sum of all purchase payments, less all prior withdrawals, including those to pay rider charges, but not including amounts applied to early withdrawal charges.
Bailout Feature
We will waive any early withdrawal charges on funds you withdraw from an indexed strategy if the renewal cap or participation rate for that strategy falls below its bailout rate. If the bailout feature is triggered, we will send you a letter and give you 30 days to withdraw the money from that strategy without incurring an early withdrawal charge.
Extended care waiver rider
After the first contract year, if you are confined to a nursing home or long-term care facility for at least 90 consecutive days, you have the option to withdraw up to 100% of the account value without incurring an early withdrawal charge.
Terminal illness waiver rider
After the first contract year, if you are diagnosed by a physician as having a terminal illness, you have the option to withdraw up to 100% of the account value without incurring an early withdrawal charge. A terminal illness is defined as having a prognosis of survival of 12 months or less, or a longer period as required by state law.
Optional Waivers
IncomeDuo and IncomeSecure Riders
When you purchase a fixed-indexed annuity from Great American Life Insurance Company, you may have the opportunity to add the IncomeDuo and IncomeSecure rider for an additional charge.
It provides guaranteed growth for your retirement income.
This also protects the money you’ve already accumulated, so you can spend less time worrying and more time enjoying your retirement.
With the IncomeDuo and IncomeSecure, you and your spouse can receive a guaranteed stream of income for life.
Income payments may begin at any time, as long as you both meet the age requirements.
Joint lifetime income Income payments are guaranteed for the joint lifetimes of you and your spouse, or legally recognized domestic partner.
You both must be at least age 55 on the income start date, and the younger age will be used to determine the income percentage.
Inheritance Enhancer
When you purchase a fixed-indexed annuity from Great American Life Insurance Company, you can add the Inheritance Enhancer rider for an additional charge.
It can help you to leave an enhanced legacy for your loved ones.
This also protects the money you’ve already accumulated, so you can spend less time worrying and more time enjoying your retirement.
The Inheritance Enhancer can help you leave an enhanced legacy for your loved ones.
After your fifth contract anniversary, your contract’s death benefit is replaced with the rider’s enhanced death benefit.
The rider death benefit will never be less than the death benefit otherwise payable under your contract.
Your beneficiaries have the flexibility to receive the benefit amount as a one-time payment or a series of payments.
Additionally, you have the option to restrict the type of payment your beneficiaries receive.
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.
