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Ohio National Financial Services, Inc. (Cincinnati) is offering its ONdex fixed indexed annuity products with a new rider that the company says guarantees income growth opportunities in retirement. With the Ion Guaranteed Lifetime Withdrawal Benefit Rider (GLWB) from Ohio National, the annuitant’s income increases every year regardless of market performance, according to a company statement. Ohio National says that this guaranteed growth may help keep retirement assets ahead of inflation and may help retirees maintain their standard of living.
The value of the Ion GLWB increases by six percent of its original value each year that no withdrawals are made during the first 20 years. After this 20-year period or in any year the annuitant makes a withdrawal, the Ion will still grow by three percent. Since income is based on the rider’s value, the annuitant’s income will increase as well—every year for life—provided withdrawals do not exceed the amount allowed under the terms of the rider.
“The new Ion rider makes our ONdex fixed indexed annuity products even more powerful from a retirement income perspective,” said Jay Bley, SVP, annuity distribution and sales. “Our customers can now get steady, guaranteed growth to support their retirement lifestyle for as long as they live. It’s one more way we can help them meet the future with confidence and peace of mind.”
The Ion is available in single life and joint life versions. The single life Ion guarantees income for the life of the annuitant, the person upon whose life the contract is based. The joint life version guarantees income for the lifetime of the annuitant or the annuitant’s spouse, whichever is longer
The Ion GLWB for ONdex fixed indexed annuities is available now through independent financial professionals in all states except New York.