Guardian Unveils Fixed Index Annuity
New York, March 28, 2022 -- The Guardian Life Insurance Company of America® (Guardian) unveiled the Guardian Secure Index Annuity, with an optional guaranteed living benefit rider – the Guardian Income Magnifier Rider, which is issued by its wholly owned subsidiary, The Guardian Insurance & Annuity Company, Inc. (GIAC). With the introduction of the Guardian Secure Index Annuity, the company has expanded its pipeline of annuity options that help mitigate market volatility and longevity risk. This fixed index annuity, available for sale through registered representatives of Park Avenue Securities, offers guaranteed retirement income clients cannot outlive, with additional growth potential.
According to the 10th Annual Guardian Workplace Benefits Study, nearly 8 in 10 working Americans feel it is important to have a guaranteed income stream in retirement. Clients can take advantage of potential gains during index upswings based on the index they select such as the S&P500® or two proprietary indices: AB Global Allocator IndexSM and the PIMCO Balanced Allocation Plus IndexTM. Clients are insulated from index downturns as they will never lose premium due to a dip in the index value, and they have the flexibility to modify their index selection annually.
“As people begin to contemplate how to financially prepare for retirement, a major concern is how to ensure they don’t outlive their retirement assets,” said Dominque Baede, Head of Life and Annuity at Guardian. “The Guardian Secure Index Annuity can be a strategic tool in a client’s retirement strategy by ensuring an ongoing source of income during retirement with the added benefit of potential growth. Creating the opportunity to have retirement assets grow with the added assurance those assets will be available throughout retirement is at the center of how Guardian inspires well-being.”
The optional Guardian Income Magnifier Rider offers, for a fee, the benefit of knowing the guaranteed income will not decline for the life of the contract so long as lifetime withdrawals don’t exceed the Guaranteed Annual Withdrawal Amount (GAWA), even if the contract value goes to zero. The rider also provides an income base1 that has the potential to increase annually and offers the flexibility to change the individuals protected under the rider to help meet varying income needs, or to address life events such as marriage, divorce, or death of a spouse. With the Guardian Income Magnifier Rider, clients can take 3% to 6% of the income base per year for life, depending on their age at the time of the first guaranteed annual withdrawal, and whether one of two people are covered.
About The Guardian Life Insurance Company of America (Guardian® )
Every day, Guardian provides Americans the security they deserve through our insurance and wealth management products and services. Since our founding in 1860, our long-term view has helped our customers prepare for whatever life brings whether starting a family, planning for the future, or taking care of employees. Today, we're a Fortune 250 mutual company and a leading provider of life, disability, dental, and other benefits for individuals, at the workplace and through government sponsored programs. The Guardian community of over 9,000 employees and our network of over 2,500 financial representatives is committed to serving with expertise when, where and how our clients need us. Our commitments rest on a strong financial foundation, which at year-end 2020 included $9.5 billion in capital and $1.7 billion in operating income. For more information, please visit guardianlife.com or follow us on Facebook, LinkedIn, Twitter, and YouTube.
All guarantees are backed exclusively by the strength and claims paying ability of The Guardian Insurance & Annuity Company, Inc. (GIAC). The Guardian Secure Index Annuity is issued by GIAC, a Delaware corporation, and distributed through Park Avenue Securities LLC (PAS). GIAC and PAS are wholly owned subsidiaries of The Guardian Life Insurance Company of America (Guardian). Guardian, GIAC and PAS are located at 10 Hudson Yards, New York, NY 10001. Product availability and features may vary by state.
The S&P 500® index is a product of S&P Dow Jones Indices LLC or its affiliates (“SPDJI”) and has been licensed for use by The Guardian Insurance & Annuity Company, Inc., a wholly owned subsidiary of The Guardian Life Insurance Company of America (“Licensee”). S&P 500® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”) and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by Licensee. Guardian Secure Index Annuity (the “Product”) is not sponsored, endorsed, sold or promoted by SPDJI, S&P, or their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such Product nor do they have any liability for any errors, omissions, or interruptions of the S&P 500.
The AB Global Allocator IndexSM is a mark owned by AllianceBernstein L.P. (“AB”) and has been licensed to The Guardian Insurance & Annuity Company, Inc. (“Licensee”). The index annuity product to which this disclosure applies (the “Product”) has been developed solely by Licensee. The Product is not sponsored, endorsed, or promoted by AB, and AB bears no liability with respect to the Product or any index on which such Product is based. AB does not provide investment advice to the Product or Licensee, and in no event shall any contract owner of the Product be deemed to be a client of AB. The contract contains a more detailed description of the limited relationship AB has with Licensee and product.
The Index embeds an annual index cost in the calculations of the change in index value. This embedded index cost will reduce any change in index value, and it funds certain operational and licensing costs for the Index.
The PIMCO Balanced Allocation Plus (“PIMBAP”) Index™ (the "Index") is a customized volatility-controlled index that allocates to a diversified range of equity futures indices, and Treasury futures indices. The Index is a trademark of Pacific Investment Management Company LLC ("PIMCO") and has been licensed for use for certain purposes by The Guardian Insurance & Annuity Company, Inc. (“the Company”) with this annuity (“the Product”). The Index is the exclusive property of PIMCO and is made and compiled without regard to the needs, including, but not limited to, the suitability or appropriateness needs, as applicable, of the Company, the Product, or owners of the Product. The Product is not sold, sponsored, endorsed, or promoted by PIMCO or any other party involved in, or related to, making, or compiling the Index. PIMCO does not provide investment advice to the Company with respect to the Product or to owners of the Product. It is not possible to directly invest in the Index.
Neither PIMCO nor any other party involved in, or related to, making, or compiling the Index has any obligation to continue to provide the Index to the Company with respect to the Product. Neither PIMCO nor any other party involved in, or related to, making, or compiling the Index makes any representation regarding the Index, Index information, performance, annuities generally or the Product particularly. PIMCO disclaims all warranties, expressed or implied, including all warranties of merchantability or fitness for a particular purpose or use.
PIMCO shall have no responsibility or liability whatsoever with respect to the Product. The Index is comprised of a number of constituents, some of which are owned by entities other than PIMCO. The Index relies on a variety of publicly available data and information and licensable equity and fixed income sub-indices. All disclaimers referenced in herein relative to PIMCO also apply separately to those entities that are owners of the constituents of the Index and to the Index Calculation Agent. The Index has an embedded index cost of 0.50% per year, which is deducted daily.
As a result of this deduction, the level of the PIMBAP Index will trail that of a hypothetical identical portfolio from which no embedded index cost is deducted.
Index interest accounts are not a permanent part of the contract and may be removed due to circumstances beyond the control of GIAC. These circumstances and the special rules that govern how assets in a discontinued index interest account may be reallocated are outlined in the contract and the Disclosure Statement. Please read them for more information as these rules may vary by contract and state.
The renewal rates under each interest crediting account are based on the economic environment at the time renewal rates are declared and may be less favorable than those declared at issue. Renewal rates are likely to be reduced as the contract approaches the end of the surrender charge period.
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