What makes Allstate RightFit annuity different from most investment options is that you have the ability to choose the level of return from potential market upsides up to a ceiling, as well as the level of protection against significant market declines.
And because RightFit is flexible — you choose your time horizon and investment style — it could be right for almost anyone who wants a flexible investment option.
How does Allstate RightFit Annuity work?
Participate in market opportunities with the protection of a “floor.”
Allstate’s RightFit Annuity is a single premium deferred variable annuity that provides growth potential based on the performance of the S&P 500 Index.
When the S&P 500 Index goes up, the value of your RightFit Annuity goes up.
When the S&P 500 Index goes down, the value may go down.
However, your investment is protected annually from significant drops in the S&P 500 Index by never going below the level you’ve chosen for your floor, assuming no withdrawals have been made.
It is important to understand that even with a floor, you may lose the money invested in the contract.
Enjoy the potential for growth up to a ceiling every year the S&P 500 Index increases.
Have the ups and downs of the stock market made you reluctant to invest?
RightFit can give you the confidence to participate in the market again with the opportunity to enjoy growth when the S&P 500 Index goes up.
And since every floor has to have a “ceiling,” RightFit too has a ceiling — a limit on the upside potential of your investment.
There’s a chance your ceiling may go up or down each year.
Don’t worry — if the ceiling drops below a certain level, there’s a bailout option available to you.
Learn More: What is a Variable Annuity?
More reasons to choose Allstate RightFit Annuity.
Like all other annuities, taxes on your earnings are deferred until you withdraw your funds.
Use a variable annuity calculator to see your earning potential.
Annual opportunity to re-allocate
Each year, you can re-allocate your money from your current investment option to another.
The investment changes must be received five days before the annuity contract anniversary.
Flexible bailout options
If the ceiling for any investment option is reset below the specified bailout rate, you may withdraw some or all of your Maturity Value from that investment option without incurring a withdrawal charge or any adjustment for changes in the fair value index.
You can withdraw up to 10% of your maturity value each year without paying a withdrawal charge.
You will need to pay taxes on any withdrawals you make.
There are other conditions under which you may also withdraw all or part of your maturity value without withdrawal charges.
These include if you become unemployed, are confined to a hospital or long-term care facility, or are diagnosed with a terminal illness.
Related Reading: Allstate Life Insurance Review