Pacific Index Foundation ®

A Deferred, Fixed Indexed Annuity


Pacific Index Foundation is not available in New York.

Pacific Index Foundation offers longer guarantees and a straightforward approach through:

  • Interest rates and index-linked caps guaranteed for the entire withdrawal charge period.
  • Well-known indexes with established histories.
  • No annual contract, mortality & expense, or administrative fees.


Client Profiles


Consider Pacific Index Foundation for:

  • Conservative pre-retirees and retirees.
  • Savers interested in growth potential without market risk.
  • Clients who will need retirement income in the future.


Key Features


Choice of Initial Guaranteed Periods

  • 5 years
  • 7 years
  • 10 years (not available in CA)

Initial interest rates and caps are guaranteed for the length of the initial guaranteed period chosen. Only one initial guaranteed period may be selected per contract.


Transparent Indexes. Simple, Flexible Interest-Crediting Options.

Pacific Index Foundation offers a variety of Interest-Crediting Options.  

  • S&P 500® Index: 1-Year Point-to-Point Option (with cap)
  • S&P 500® Index: 1-Year Performance-Triggered Index Option
  • MSCI EAFE® (Europe, Australasia, and the Far East): 1-Year Point-to-Point Option (with cap)
  • MSCI EAFE® (Europe, Australasia, and the Far East): 1-Year Performance-Triggered Index Option
  • Fixed Account Option

Clients have the flexibility to allocate to one or any combination of options, and can choose to reallocate their options at the end of each index term or Fixed Account Option term.  



Optional Benefits


Pacific Index Foundation offers an optional guaranteed minimum withdrawal benefit that can provide guaranteed lifetime income beginning at age 59½, or an optional beneficiary benefit that can help protect and enhance the legacy your clients leave to their beneficiaries.


Enhanced Lifetime Income Benefit 3

Enhanced Lifetime Income Benefit 3 provides guaranteed withdrawals for life, beginning at age 59½, regardless of the amount of interest that is earned on the contract. It also provides opportunities to increase retirement income through an 8% Annual Credit. For each year your client defers withdrawals, 8% will be added to the Protected Payment Base for up to 10 years. The 8% Annual Credit is not added to the contract value and is not a rate of return or growth rate. 

Fee: 1.00% of the Protected Payment Base (up to a maximum of 1.50%) deducted annually for both the Single Life and Joint Life options. 


Interest Enhanced Death Benefit (Not Available in CA)

Interest Enhanced Death Benefit can enhance the legacy your clients leave to loved ones by providing guaranteed growth of the Death Benefit Base, no matter how the market performs. The Death Benefit Base is guaranteed to grow by the amount of interest credited to the contract, plus an additional 2% roll-up, compounded annually, for 20 years, up until age 85, or in New Jersey, Ohio, Oregon, Pennsylvania, Utah, and Washington, up to a maximum roll-up amount of 250% of total purchase payments (adjusted proportionately for withdrawals), whichever is earlier.

Fee: 0.40% of the Death Benefit Base deducted from the contract value annually.


Only one optional benefit may be purchased per contract.



Additional Information


Withdrawal Charges and Fees

The initial guaranteed periods correspond to the withdrawal charge schedule. Withdrawal charges apply only during the initial guaranteed period when the amounts taken are more than those discussed in the "Withdrawals without Charge" section below.


The following withdrawal charge schedules will apply as indicated in all states (except CA).

5 Years

Contract Year 1 2 3 4 5
Charge per Withdrawal
9% 8% 8% 7% 6%

7 Years

Contract Year 1 2 3 4 5 6 7
Charge per Withdrawal
9% 8% 8% 7% 6% 4% 4%

10 Years

Contract Year 1 2 3 4 5 6 7 8 9 10
Charge per Withdrawal
9% 8% 8% 7% 6% 4% 4% 3% 2% 1%



In California, the withdrawal charge schedule is as follows:

5 Years

Contract Year 1 2 3 4 5
Charge per Withdrawal
9% 8% 7% 6% 5%

7 Years

Contract Year 1 2 3 4 5 6 7
Charge per Withdrawal
9% 8% 7% 6% 5% 4% 3%



Market Value Adjustments (MVAs)

If either of the following occur during the withdrawal charge period, an MVA may apply (in addition to any applicable withdrawal charges):

  • Withdrawals in excess of 10% of the prior anniversary’s contract value (10% of purchase payments in the first year).
  • Annuitization of the contract value.

For more information about the MVA formula, please refer to the MVA endorsement that accompanies the contract. View daily index yields for the J.P. Morgan 10-Year U.S. Liquid Index here.

There is no MVA assessed on withdrawals made after the withdrawal charge period has expired. Please note, the MVA does not apply in CA.

Withdrawals without Charge

Withdrawals are permitted 30 days after contract issue. In the first contract year, the maximum that may be withdrawn without a charge is 10% of the total purchase payments. For each subsequent contract year, the maximum is 10% of the contract value as of the prior contract anniversary.

In addition, withdrawal charges and the MVA will be waived for:

  • Required minimum distribution (RMD) withdrawals (only if calculated by Pacific Life).
  • Withdrawals after the first contract year if diagnosed with a terminal illness (life expectancy of 12 months or fewer). Not available in CA.
  • Withdrawals after 90 days of contract issue if confined to an accredited nursing home for 30 days or more as long as the nursing home confinement began after the contract was issued (except in CA and MA).
  • Beneficiary benefit proceeds.
  • Annuity income payments. (Available after the first contract year; an MVA may apply.)
  • Withdrawals up to the Lifetime Annual Withdrawal Amount under the optional Enhanced Lifetime Income Benefit 3.

Note: For Index-Linked Options, no interest is earned or credited on amounts withdrawn prior to the end of an index term.

Guaranteed Minimum Surrender Value

  • The Guaranteed Minimum Surrender Value is equal to 91% of purchase payments minus prior withdrawals, accumulated at a fixed interest rate, which is set at contract issue. 
  • Calculated at full withdrawal, death, or annuitization.
  • Clients are guaranteed to receive the greater of the contract value (minus applicable optional benefit charges, a market value adjustment (MVA), and/or withdrawal charges) or the Guaranteed Minimum Surrender Value.
  • Guaranteed for the life of the contract.

Initial Guaranteed Period

The initial guaranteed period determines:

  • The interest rate that will be earned on the Fixed Account Option and potentially earned with the Performance-Triggered Index Option, as well as the time period the rates are guaranteed.
  • The cap applied to the Point-to-Point Option and the time period the cap is guaranteed. A cap is the maximum amount of interest that can be earned for the index term.
  • When clients will have access to the contract value without incurring a withdrawal charge or market value adjustment (MVA).

Fixed Account Option

  • Each Fixed Account Option term is one contract year.
  • Interest credited daily.
  • The initial rate is guaranteed for the length of the initial guaranteed period.
  • After the initial guaranteed period expires, renewal rates are declared annually and will never be lower than the minimum guaranteed interest rate stated in the contract.
  • The initial interest rate will depend on the initial guaranteed period chosen and the total of all purchase payments received (minus withdrawals and applicable withdrawal charges) in the first year. The Fixed Account Option breakpoints are:
    • Less than $100,000
    • $100,000 and more

Index-Linked Options

  • Interest may be credited at the end of each one-year index term depending on the amount of change in an index price.
  • The initial interest rates and caps will depend on the initial guaranteed period chosen and the total of all purchase payments received. The index-linked breakpoints are:
    • Less than $100,000
    • $100,000 and more


  • Effective on a contract anniversary, but can be requested up to 30 days after the contract anniversary.
  • Clients may transfer their Fixed Account Option values and expired index terms to any available Index-Linked Option or the Fixed Account Option.

Clients may convert the contract to annuity income payments one year after contract issue. An MVA may apply.

  • Payments are based on the greater of the contract value or the Guaranteed Minimum Surrender Value.
  • Pro rata index-linked interest is credited to the contract value upon annuitization.


Annuity Income Options Available

  • Life Only
  • Life with Period Certain (5–30 years1)
  • Joint and Survivor Life
  • Period Certain Only (up to 30 years1)
  • Single Life or Joint Life with Cash Refund
  • Single Life or Joint Life with Installment Refund



Fixed annuitization only
Partial annuitization is not available



Monthly, quarterly, semiannually, annually


Minimum Annuity Income Payment Amount


The annuity provides the standard death benefit. If death occurs before annuity income payments begin, a beneficiary benefit equal to the greater of the contract value or the Guaranteed Minimum Surrender Value is paid upon the death of the first owner or the last annuitant. Pro rata index-linked interest is credited to the contract value on the Notice Date (the date Pacific Life receives the beneficiary benefit claim in good order). 

Premium: Limited premium. 1035 exchange/transfer requests must be submitted with the application and the funds received within 60 days after contract issue.

Please note: Additional cash purchase payments up to $100,000 are permitted within the first 60 days of contract issue. Interest will be credited proportionately based on the date the additional purchase payment is received and the index return from the date the additional purchase payment is received to the end of the index term. This period may be less than the time frames listed above.

Minimum Purchase Payment: $25,000 (qualified and nonqualified).

Maximum: $1 million. Total purchase payments greater than $1 million require Pacific Life home-office approval in advance.

Maximum Annuitant/Owner Issue Age: 85

Maximum Annuitization Age: 95



Guarantees are subject to the claims-paying ability and financial strength of the issuing insurance company.

A beneficiary benefit is referred to as a death benefit in the contract summary.

1For qualified contracts, the maximum length of time for the Period Certain options may be less than 30 years, if necessary, to comply with RMD regulations for annuities.



Fixed Annuity Rates & Resources


For Financial Professionals

No data found


Broker/dealer and state variations may apply. Contact your broker/dealer for availability.

Fixed indexed annuities are not securities and do not participate directly in the stock market or any index, so they are not investments. 

Annuity withdrawals are taxable as ordinary income when distributed and may be subject to a 10% federal income tax if withdrawn before age 59½. For nonqualified contracts, an additional 3.8% federal income tax may apply on net investment income. Withdrawals will reduce the contract value and the value of the beneficiary benefits, and also may reduce the value of any optional benefits.

Guaranteed rates and caps will never be set below the minimum or above the maximum stated in the contract. Pacific Life determines, at its discretion, guaranteed rates and caps in excess of the minimum or below the maximum guaranteed in the contract.

The Product and its MSCI EAFE® Index-Linked Options referred to herein are not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such Products or any index on which such Products are based. The Policy Contract contains a more detailed description of the limited relationship MSCI has with Pacific Life Insurance Company and any related products.

The S&P 500® index is a product of S&P Dow Jones Indices LLC or its affiliates (“SPDJI”) and has been licensed for use by Pacific Life Insurance Company.  S&P®, S&P 500®, US 500, The 500, iBoxx®, iTraxx®, and CDX® are trademarks of S&P Global, Inc., or its affiliates (“S&P”); Dow Jones® is a registered one trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by Pacific Life Insurance Company. Pacific Life’s product is not sponsored, endorsed, sold, or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500® index.

The indexes are not available for direct investment, and index performance does not include the reinvestment of dividends.

Pacific Index Foundation (ICC17:30-1800), including optional riders and endorsements (ICC15:20-1500, 20-1500ID, 20-1500, ICC17:20-1707, ICC17:20-1704, ICC17:20-1805, ICC17:20-1806, ICC16:15-1403), are issued by Pacific Life. Contract form series, rider series, and endorsements may vary by state.

Pacific Life, its distributors, and respective representatives do not provide tax, accounting, or legal advice. Any taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor or attorney.

Pacific Life is a product provider. It is not a fiduciary and therefore does not give advice or make recommendations regarding insurance or investment products.

Unless otherwise noted, all aforementioned money managers, their distributors, and affiliates are unaffiliated with Pacific Life and Pacific Select Distributors, LLC.

Pacific Life refers to Pacific Life Insurance Company and its subsidiary Pacific Life & Annuity Company. Insurance products can be issued in all states, except New York, by Pacific Life Insurance Company or Pacific Life & Annuity Company. Product/material availability and features may vary by state. Each insurance company is solely responsible for the financial obligations accruing under the products it issues. 

Variable insurance products are distributed by Pacific Select Distributors, LLC (member FINRA & SIPC), a subsidiary of Pacific Life Insurance Company and an affiliate of Pacific Life & Annuity Company. 

The home office for Pacific Life & Annuity Company is located in Phoenix, Arizona. The home office for Pacific Life Insurance Company is located in Omaha, Nebraska.

No bank guarantee • Not a deposit • Not FDIC/NCUA insured • May lose value • Not insured by any federal government agency

For financial professional use only. Not for use with the public.

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