Security Benefit Life Teams With Bank to Sell Annuity.Security Benefit Life Insurance Co., Topeka, Kan., has teamed with Fifth Third Bank to market a fixed-annuity product and services. Fifth Third is a $31.6-billion diversified diversified (di·verˑ·s financial-services company based in Cincinnati. The bank will sell Security Benefit's Provider III Single Premium Fixed Annuity Fixed Annuity An insurance contract in which the insurance company makes fixed dollar payments to the annuitant for the term of the contract, usually until the annuitant dies. The insurance company guarantees both earnings and principal. to customers at its nearly 500 banks in Ohio, Kentucky, Indiana, Illinois, Florida, Arizona and Michigan. The annuity annuity: see insurance. annuity Payment made at a fixed interval. A common example is the payment received by retirees from their pension plan. There are two main classes of annuities: annuities certain and contingent annuities. is offered along with Fifth Third's other financial-planning products in bank lobbies or at the bank's Web site, www.53.com. Security Benefit also will provide training and market assistance for the bank's sales representatives. As of November, the product had a three-year guaranteed interest rate of 6.1% for premiums up to $99.999 and 6.35% for greater amounts. After the three-year guarantee, renewal rates are at the discretion of Security Benefit, but will never be less than 3%. Surrender charges Surrender Charge A fee levied on a life insurance policyholder upon cancellation of his or her life insurance policy. The fee is used to cover the costs of keeping the insurance policy on the insurance provider's books. last for six years. In July, Security Benefit entered a fixed-annuity selling agreement with Regions Investment Co., the investment subsidiary of Alabama-based Regions Bank. Security Benefit has $547 million in net premiums written and capital and surplus of $516 million through the first half of 1999, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. A.M. Best Co. data. |
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