Pacific Index Advisory offers longer guarantees and a straightforward approach through:
Consider Pacific Index Advisory for:
Initial interest rates and caps guaranteed for the length of the initial guaranteed period chosen. Only one initial guaranteed period may be selected per contract.
Pacific Index Advisory offers a variety of Interest-Crediting Options.
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.
Pacific Index Advisory offers an optional guaranteed minimum withdrawal benefit that can provide guaranteed lifetime income beginning at age 59½, or an optional death benefit that can help protect and enhance the legacy your clients leave to their beneficiaries.
Enhanced Lifetime Income Benefit 2 provides guaranteed withdrawals for life, regardless of the amount of interest that is earned on the contract. It also provides opportunities to increase retirement income through a 7% Annual Credit. For each year your client defers withdrawals, 7% will be added to the Protected Payment Base for up to 10 years. The 7% Annual Credit is not added to the contract value and is not a rate of return or growth rate.
Fee: 0.75% (maximum charge of 1.50%) of the Protected Payment Base deducted annually for both the Single Life and Joint Life options.
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, until age 85, or in some states, 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.
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.
|Current Year of the Selected Guaranteed Period
|Charge per Withdrawal
|Current Year of the Selected Guaranteed Period
|Charge per Withdrawal
If either of the following occur during the withdrawal charge period, an MVA may apply (in addition to any applicable withdrawal charges):
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 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:
Note: For Index-Linked Options, no interest is earned or credited on amounts withdrawn prior to the end of an index term.
Initial Guaranteed Period
The initial guaranteed period determines:
Fixed Account Option
Clients may convert the contract to annuity income payments one year after contract issue. An MVA may apply.
Annuity Income Options Available
Fixed annuitization only
Partial annuitization is not available
Monthly, quarterly, semiannually, annually
Minimum Annuity Income Payment Amount
For no additional cost, if death occurs before annuity income payments begin, a death 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 death 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.
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.
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% additional tax if withdrawn before age 59½.For nonqualified contracts, an additional 3.8% federal tax may apply on net investment income. Withdrawals will reduce the contract value and the value of the death 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 (“SPDJI”), and has been licensed for use by Pacific Life Insurance Company. Standard & Poor’s®, S&P®, and S&P 500® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered 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. 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 Advisory (30-1700), including optional riders and endorsements (20-1704, 20-1705, 20-1706, 20-1707, 20-1500, 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.
Pacific Life refers to Pacific Life Insurance Company and its affiliates, including Pacific Life & Annuity Company. Insurance products are issued by Pacific Life Insurance Company in all states except New York and in New York by Pacific Life & Annuity Company. Product 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 (Newport Beach, CA) and an affiliate of Pacific Life & Annuity Company. Variable and fixed annuity products are available through licensed third parties.
No bank guarantee • Not a deposit • Not FDIC/NCUA insured • May lose value • Not insured by any federal government agency