What is meant by free withdrawal in my fixed annuity policy?
Depending on which type of fixed annuity you were issued, there are surrender charges on withdrawals made in the first few years. Your annuity disclosure form will outline the surrender charge percent and the policy years to which these charges are applicable. You may make one free withdrawal each policy year for an amount not to exceed 10% of your account balance at the time of withdrawal. Depending on which fixed annuity plan you have, some 10% free withdrawals may be cumulative. In other words, if you did not make a withdrawal one policy year, then you would be eligible for 20% the next year, and so on up to 50% of your fixed annuity balance at the time you make the first withdrawal of that policy year. Feel free to call one of our Client Services Representatives to find out which free withdrawal period applies to your fixed individual annuity.
