Definition:
A MYGA (Multi-Year Guaranteed Annuity) is a type of fixed deferred annuity where a fixed interest rate is guaranteed for a period longer than one year. Typically, the guarantee period ranges from 2 to 10 years.
Key Characteristics:
- Fixed Interest Rate: The rate does not change during the guarantee period.
- Deferred Annuity: Earnings accumulate over time until withdrawals begin.
- Guaranteed Duration: Provides predictable growth over the term of the contract.
Fields for MYGA Contracts:
- MYGA Yes/No indicator whether the contract is a MYGA
- MYGA Duration Length of guaranteed rate duration in years (commonly 3, 5, or 7)
- MYGA End Date Date at which the guaranteed rate expires
Example:
