Fixed Annuity Rates: A Comprehensive Guide
Annuities are financial products designed to provide retirees with a steady stream of income. In this article, we will discuss the top fixed annuity rates for all types of fixed annuities, including traditional fixed annuities and Multi-year guaranteed annuities (MYGAs). We will cover specific rates and delve into the factors that affect these rates and the advantages and disadvantages of each type of annuity.
Fixed Annuities: Key Factors, Advantages, and Disadvantages
Fixed annuities offer a guaranteed interest rate for a predetermined period, providing a stable and secure income for retirees. When comparing fixed annuity rates, consider the following factors:
- Contract term
- The financial strength of the issuing company
- Additional features
Advantages of fixed annuities include guaranteed and predictable income, low investment risk, and protection of principal. Disadvantages include limited growth potential, inflation risk, and less flexibility than other types of annuities.
Strategies for Finding The Best Fixed Annuity Rates
- Shop around and compare rates from multiple insurance companies.
- Consider shorter-term contracts.
- Evaluate the benefits of optional riders.
Best Fixed Annuity Rates (Updated as of March 2023)
We will discuss the best rates for Multi-Year Guaranteed Annuities (MYGAs) and Traditional fixed annuities.
Best Rated MYGAs (Only A-rated and above) as of 13th April 2023
| Product | Company | AM Best | Minimum Premium | Years | Guaranteed Yield |
| Ibexis MYGA Plus | Ibexis Life | A- | $100,000 | 5 | 5.80% |
| Palladium MYGA | American National | A | $250,000 | 6 | 5.45% |
| Platinum Assure | Americo Financial | A | $25,000 | 5 | 5.40% |
| Milestone MYGA | Sagicor Life | A- | $100,000 | 5 | 5.30% |
| RetireMax Secure | LSW | A+ | $100,000 | 5 | 5.25% |
| Athene MaxRate | Athene | A | $100,000 | 7 | 5.25% |
| Synergy Choice | Aspida | A- | $100,000 | 7 | 5.25% |
| HarbourView | Oceanview Life | A- | $80,000 | 6 | 5.20% |
| Multi-Choice | Standard Insurance | A | $100,000 | 5 | 5.15% |
| FG Guarantee Platinum | Fidelity and Guarantee Life | A- | $20,000 | 7 | 5.15% |
| ECAccumulate | SBLI | A | $25,000 | 5 | 5.00% |
| Secure Value | United Heritage | A- | $7,000 | 7 | 5.00% |
| Multi Select | Oxford Life | A | $20,000 | 6 | 4.95% |
| Preserve Multi-Year | Clear Spring Life | A- | $250,000 | 10 | 4.95% |
| Bankers Elite | Liberty Bankers | A- | $10,000 | 5 | 4.90% |
| Pinnacle MYGA | Delaware Life | A- | $10,000 | 7 | 4.90% |
| SecureGain | MassMutual | A+ | $100,000 | 7 | 4.89% |
| GuaranteeShield | American Equity | A- | $250,000 | 5 | 4.65% |
Best Rated MYGAs (Rated below A) as of 13th April 2023
| Product | Company | AM Best | Minimum Premium | Years | Guaranteed Yield |
| AnnuityAdvantage Classic | American Life | B++ | $1,000 | 5 | 5.55% |
| Safe Harbour | Atlantic Coast | B++ | $5,000 | 7 | 5.46% |
| Personal Choice | Sentinel Security | B++ | $2,500 | 5 | 5.45% |
| Nassau MY Annuity | Nassau Life | B++ | $10,000 | 7 | 5.45% |
| Navigator Ultra | Western United | B++ | $10,000 | 7 | 5.40% |
| Certainty Select | EquiTrust | B++ | $10,000 | 10 | 5.40% |
Best Rated Traditional Fixed Annuities as of 13th April 2023
| Product | Company | AM Best | Minimum Premium | Years | First Year Guaranteed Yield | Guaranteed Minimum Term Yield* |
| Apollo-MVA | Reliance Standard Life Insurance | A++ | $5,000 | 7 | 6.30% | 4.58% |
| Apollo-SP | Reliance Standard Life Insurance | A++ | $5,000 | 7 | 6.15% | 4.43% |
| American Pathway Fixed | American General Life Insurance | A | $100,000 | 7 | 5.36% | 4.35% |
| Liberty Select | Liberty Bankers Life Insurance | A- | $5,000 | 7 | 5.25% | 3.96% |
| Liberty Choice | Liberty Bankers Life Insurance | A- | $5,000 | 5 | 4.75% | 3.95% |
| Century Plus | American National Insurance | A | $100,000 | 10 | 8.40% | 3.89% |
| Wealth Quest Citadel Diamond | Amercian National Insurance | A | $100,000 | 7 | 5.60% | 3.60% |
| FlexPlus | Guaranty Income Life Insurance | A- | $5,000 | 10 | 2.90% | 2.90% |
| Eagle 8 | United Heritage Life Insurance | A- | $8,000 | 10 | 6.00% | 2.62% |
| SageChoice | Sagicor Life Insurance | A- | $2,000 | 6 | 2.00% | 2.00% |
*Note that the Guaranteed Minimum Term Yield is the yield (including bonuses if applicable), up to the first penalty-free full withdrawal window, assuming the current base interest rate remains unchanged for the duration of the term.
Conclusion
In this comprehensive guide, we have explored the various fixed annuity rates, including traditional fixed annuities and MYGA rates, as well as their respective advantages and disadvantages. As you search for the best fixed annuity rates for each of these annuity types, it’s essential to consider not only the rates themselves but also the factors that impact them and how well they align with your retirement goals and financial situation.
By understanding the unique features and benefits of each fixed annuity type, you can make an informed decision about which product best suits your needs. Keep in mind that annuities are long-term investments and should be considered as part of a comprehensive retirement plan. It’s always a good idea to consult with a financial advisor to ensure that an annuity is the right choice for your individual needs and circumstances. By doing so, you can confidently build a retirement income strategy that provides financial security and peace of mind during your golden years.