02 Feb 2017
Posted by Scott White 
Loading ...
Contact CPS today for complete details and state availability.
| CARRIER | PRODUCT | A.M. BEST RATING | GUARANTEE PERIOD | YEAR 1 | YEARS 2+ | YIELD | COMM | ISSUE AGES |
|---|---|---|---|---|---|---|---|---|
| Guggenheim | Preserve MYG (250k+) | B++ | 3 years | 2.10% | 2.10% | 2.10% | 1.00% | 0-90 |
| Oxford Life | MultiSelect 3 | A- | 3 years | 2.05% | 2.05% | 2.05% | 1.00% | 0-80 |
| Guarantee Income Life | Guarantee 4 | B+ | 4 years | 2.60% | 2.60% | 2.60% | 1.60% | 0-100 |
| Oxford Life | MultiSelect 4 | A- | 4 years | 2.45% | 2.45% | 2.45% | 1.75% | 0-80 |
| Atlantic Coast Life | Safe Haven 5 | B+ | 5 years | 4.00% | 3.00% | 3.20% | 2.00% | 0-85 |
| Sentinel Security Life | Personal Choice Annuity 5 | B++ | 5 years | 3.15% | 3.15% | 3.15% | 2.25% | 0-90 |
| Oxford Life | MultiSelect 5 | A- | 5 years | 2.75% | 2.75% | 2.75% | 2.50% | 0-80 |
| The Standard | FGA5 | A | 5 years | 2.70% | 2.70% | 2.70% | 2.00% | 0-90 |
| Atlantic Coast Life | Safe Haven 6 | B+ | 6 years | 4.10% | 3.10% | 3.27% | 2.00% | 0-85 |
| American National | Palladium MYG6 | A- | 6 years | 2.90% | 2.90% | 2.90% | 2.50% | 0-85 |
| Oxford Life | MultiSelect 6 | A- | 6 years | 2.90% | 2.90% | 2.90% | 2.50% | 0-80 |
| Atlantic Coast Life | Safe Haven 7 | B+ | 7 year | 4.25% | 3.25% | 3.39% | 2.25% | 0-90 |
| Sentinel Security Life | Personal Choice Annuity 7 | B++ | 7 year | 3.30% | 3.30% | 3.30% | 2.25% | 0-90 |
| Guggenheim | Preserve MYG (250k+) | B++ | 9 year | 3.20% | 3.20% | 3.20% | 2.50% | 0-90 |
| Atlantic Coast Life | Safe Haven 10 | B+ | 10 year | 4.40% | 3.40% | 3.50% | 2.25% | 0-90 |
6 Comments
Ron, thanks for your comment. Hope you are well sir. These are a few of the suggestions that we have made due to the sucess we have seen lately. Of course they are not the end all, be all. There are over 35 carriers out there but, the A rated ones pay lower rates. But here is my take on MYGs:
if we are going with a short 3 – 7 year time horizon, I would be comfortable with a B+ carrier or a B++ carrier. B++ when it comes to AM Best rating is investment grade. Those carriers are purchasing bonds to back these annuities that are just that: investment grade. With a small portion of client assets, a B+ carrier should be ok in most circumstances. I think we have all been taught to sell A rated, and whenever possible, I think we should. But if you dig in to what a B++ rating means, and we can educate clients, many are ok sacrificing a bit of credit rating for a higher yield in a low rate environment like today. That said, Athene is a great A- rated carrier with a 2.40% 5 year yield. I am seeing a lot go into that as well. Next best is NACOLAH who is A+ rated. A full array of products can be found at http://www.cpsinsurance.com under the annuity tab where you can compare and contrast rates and carrier ratings. Hope this helps sir. Thanks again!
Scott, are you guys really promoting such low rated companies? It would be helpful to show some A and A+ companies as well. Thanks, Ron
Russ!! Thank you for the chuckle. You are too kind my friend! And thank you for all the business.
Joe – yes sir there are a rated carriers. CPS has access to over 30 carriers, most of them A or better. Candidly, they are paying lower rates than the ones listed here. Objectively, B++ carriers rated by AM Best must be backing policies with investment grade bonds. So, B++ is investment grade. In addition, its important to look at Risk Based Capital rating as well as solvency. All of the above are really strong in both regards. Lastly, these are all short term holds, which we are completely comfortable recommending in this rate environment. Let us know if you have any further questions.
My direct email is swhite@cpsinsurance.com. thank you for your comments!
Scott: No carriers with A ratings?
YOU’RE LOOKING GOOD YOUNG MAN