MarketTwelve Bonus Index® Annuity
A single premium fixed indexed deferred annuity with a 12% bonus paid over three years. Product contains a fixed rate account that earns a traditional interest rate and a variety of index accounts.
Applicant Ages
- 0 – 75 (all Owners/Annuitants).
Minimum/Maximum Premium
$30,000 minimum; $1 million maximum.
Subsequent premiums may be added first year only.
Bonus
- 12% bonus credited over three years. 6% premium bonus paid on all premiums; 2% accumulation value bonus added on the first three contract anniversaries.
Account Options
1-Year Interest Account
- The interest rate is guaranteed for one year and may change on subsequent contract anniversaries.
1-Year Point-to-Point Cap Index Account
- Percentage change in the S&P 500® from the previous contract anniversary, subject to an Index Cap. The Index Cap may change each year.
1-Year Daily Average Cap Index Account
- Percentage change based on the daily average S&P 500® over a one-year period, subject to an Index Cap. The Index Cap may change each year.
1-Year Monthly Average Participation Index Account
- Percentage change based on the monthly average S&P 500® over a one-year period, multiplied by the Participation Rate. The Participation Rate may change each year.
1-Year Monthly Cap Index Account
- Percentage change based on the cumulative sum of capped monthly S&P 500® changes over a one-year period, credited annually. Each of the monthly gains is subject to a Monthly Cap, but there is no floor on the monthly declines. The Monthly Cap may change each year.
2-Year Monthly Average Cap Index Account
- Percentage change based on the monthly average S&P 500® over a two-year period, subject to an Index Cap. The Index Cap may change every two years.
Index Credits
- Index Credits will be added to the account at the end of each indexing period. Index Credits will never be less than zero.
Surrender Charge
- Declining surrender charge - based on a 14-Year Schedule. Percentage of the Accumulation Value by contract year: 20, 20, 19, 19, 18, 17, 16, 14, 12, 10, 8, 6, 4, 2%. Surrender charges may vary by state. Applies to partial withdrawals in excess of the free-withdrawal amount. In the event of a full surrender, applies to accumulation value and any free withdrawals in the same contract year.
Market Value Adjustment
- Applied only when surrender charges are imposed.
Penalty-Free Withdrawals
- After the first contract year, up to 10% of the accumulation value on the previous contract anniversary may be withdrawn each contract year without surrender charge or MVA.
Income for Life Rider
- An optional rider that offers a guaranteed income stream for life without annuitizing.
Death Benefit
- Upon death of owner, accumulation value.
Nursing Home Waiver
- After the first contract year, surrenders are not subject to surrender charges or MVA in the event of nursing home confinement of owner for 90 days. There is no charge for this rider.
Terminal Illness Rider
- If the owner of the contract is diagnosed with a terminal illness, surrender charges and MVA are waived for a withdrawal of up to 75% of the accumulation value. There is no charge for this rider.
The S&P 500® Index is a product of S&P Dow Jones Indices, LLC. (“S&P DJI”) and has been licensed for use by EquiTrust Life Insurance Company. S&P® and S&P 500® are registered trademarks of Standard & Poor’s Financial Services, LLC. (“S&P”). These trademarks have been licensed for use by S&P DJI and sublicensed for certain purposes by EquiTrust Life Insurance Company. MarketTwelve Bonus Index Annuity is not sponsored, endorsed, sold or promoted by S&P DJI, S&P, or any of their respective affiliates or third party licensors, and none of such parties make any representation regarding the advisability of purchasing MarketTwelve Bonus Index Annuity nor do they have any liability for any errors, omissions, or interruptions of the S&P 500®.
Surrender of the contract may be subject to surrender charges or market value adjustment. Withdrawals before age 59½ may result in a 10 percent IRS penalty tax. Withdrawals do not participate in index growth. In the event of a full surrender, charges will apply to any penalty-free amounts taken during the same contract year. Surrender charges may vary by state. Market Value Adjustment may not apply in all states. The guarantees expressed are based on the claims paying ability of EquiTrust Life Insurance Company. EquiTrust cannot give legal, tax or accounting advice. Your personal tax advisor can provide important information with respect to the purchase of this annuity contract and its taxation. Nursing Home Waiver Rider and Terminal Illness Rider features and availability may vary by state or issue ages.
This information briefly highlights EquiTrust’s MarketTwelve Bonus Index annuity contract and its benefits. Contract issued on Contract Form Series ET-MPP-2000(02-05) with Rider ET-AVBR(06-09) and Rider ET-IMVA(07-09). Group Certificates issued on Form series ET-MPP-2000C(01-07) with Rider ET-AVBRC(06-09). Product features, issue ages, riders and availability may vary by state. For costs and complete details of coverage, including any exclusions, reductions or limitations, and the terms under which the contract may be continued in force, contact your EquiTrust agent.