Brighthouse Financial Expands Flagship Shield Level Annuity Suite With New Product That Provides Guaranteed Lifetime Income
Brighthouse Financial has launched the Shield Level Pay PlusSM annuities, expanding its Shield® Level Annuities suite. These annuities are designed to provide guaranteed lifetime income, appealing to retirees addressing longevity risks. The product allows clients to participate in market growth while protecting against volatility. Key features include two income rider options, a competitive annual charge of 1.50%, and flexibility for individual needs. This innovation aims to enhance retirement security, reflecting Brighthouse's commitment to financial solutions.
- Launch of Shield Level Pay Plus annuities enhances product offerings.
- Annuities designed to provide guaranteed lifetime income, addressing longevity risk.
- Features a competitive annual charge of 1.50%, lower than traditional variable annuities.
- Flexibility in income riders allows customization to individual needs.
- Aligns with growing investor interest in products offering guaranteed lifetime income.
- None.
Shield Level Pay PlusSM annuities are built to help meet an important need in retirement planning – income that lasts for life
“The financial impact of longevity has made guaranteed lifetime income an important consideration for retirees who want to help secure their financial future,” said
According to the
Shield Level Pay Plus annuities are index-linked annuities, which are a type of annuity that allows clients to participate in growth opportunities up to a certain percentage by tracking the performance of one or more market indices, rather than investing directly in the markets, while providing a level of protection in down markets.
Other key features of Shield Level Pay Plus annuities include:
Two versions of an income rider
Clients have the flexibility to choose between two versions of a built-in income rider,5 depending on their specific risk tolerance and income needs. Both versions of the rider use a Benefit Base6 which is multiplied by the applicable withdrawal rate to determine the stream of lifetime income. The choice of two versions of the rider means clients can decide how they want their Benefit Base, which initially equals the purchase payment, to build value. The Benefit Base cannot go down because of market losses, but it can grow.
For clients who want to participate in the growth opportunities equities can provide, the Market Growth version of the income rider offers the potential to build benefit amounts faster than some other guaranteed income products. For clients who prefer the comfort and reliability of guaranteed growth of the Benefit Base, no matter the market conditions, the Market Growth with Rollup version of the income rider can be a valuable portfolio addition.7
Lower fee
The features of a Shield Level Pay Plus annuity are provided in a way that will not heavily impact a client’s portfolio because of higher fees and costs. With no base contract fees, clients pay an annual charge of
Flexibility to suit individual needs and goals
Shield Level Pay Plus annuities continue Brighthouse Financial’s history of building flexibility into each of its products to suit clients’ individual needs and goals. In addition to the product’s flexible features mentioned above, Shield Level Pay Plus annuities are designed to provide married couples of any gender with advantages that not all similar products may offer. These advantages include the ability for clients to choose which income option they prefer when they are ready to start taking income, rather than having to choose single or joint life income at contract issue.
Shield Level Pay Plus annuities enhance Brighthouse Financial’s portfolio of products that are designed to help people protect what they’ve earned and ensure it lasts. In addition, Shield Level Pay Plus annuities reflect Brighthouse Financial’s ongoing focus to help meet the evolving needs of clients as the company continues to deliver on its mission to help people achieve financial security.
“Financial security, especially in retirement, is top of mind for many people and their families today.
More information on Shield Level Pay Plus annuities is available at brighthousefinancial.com.
About
1 Guaranteed lifetime income depends upon staying within the parameters of the rider. |
2 Early or excess withdrawals may affect the amount or ability to receive lifetime income. All guarantees are subject to the claims-paying ability and financial strength of the issuing insurance company. If the account value reduces to zero due to a non-excess withdrawal, or if there are insufficient funds to deduct the rider charge, lifetime income payments will be calculated using the applicable lifetime guarantee rate. If the account value is reduced to zero due to early or excess withdrawals, lifetime income payments will not be received. |
3 Retirement Information for Medicare Beneficiaries. |
4 |
5 The income rider is referred to as the Guaranteed Lifetime Withdrawal Benefit (GLWB) Rider in the prospectus. |
6 Benefit Base is referred to as the GLWB Base in the prospectus. The Benefit Base may be reduced by early and excess withdrawals. The Benefit Base cannot be withdrawn as a lump sum or paid as a death benefit and is not the amount that is guaranteed to be returned to you if you surrender your contract. See the prospectus for more details. |
7 The Benefit Base will not increase by the Rollup Rate if a withdrawal is taken in a contract year. |
8 The rider fee rate is multiplied by the Benefit Base and is considered the rider charge. This amount is deducted from your account value for the prior contract year on each contract anniversary. |
9 Ranked by 2021 admitted assets. Best’s Review®: Top 200 U.S. Life/Health Insurers. AM Best, 2022. |
Brighthouse Shield Level Pay Plus Annuity and Brighthouse Shield Level Pay Plus Advisory Annuity, collectively referred to as “Shield Level Pay PlusSM annuities,” are part of the Shield annuity suite of single premium deferred index-linked annuity products that are referred to as “Shield® Level annuities” or “Shield® annuities.”
Brighthouse Shield Level Pay PlusSM Annuity and Brighthouse Shield Level Pay PlusSM Advisory Annuity, collectively referred to as “Shield Level Pay PlusSM annuities,” are index-linked annuities issued by, and product guarantees are solely the responsibility of,
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deon.roberts@brighthousefinancial.com
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