AXA Equitable Helps Americans Prepare for a Long Retirement
February 25 2008 - 10:07AM
PR Newswire (US)
New 200% Benefit Base Guarantee Available with Accumulator(R)
Variable Annuity NEW YORK, Feb. 25 /PRNewswire-FirstCall/ --
Acknowledging that Americans are living longer than ever in
retirement, AXA Equitable Life Insurance Company is offering a new
way to help them afford the lifestyle they choose. The newest rider
available with the company's top-selling Accumulator(R) variable
annuity provides for a minimum 200% benefit base guarantee if no
withdrawals are taken during the first 10 years of the contract or
until age 70, whichever is later. This means that a person who
makes an initial contribution of $100,000 will have a minimum
$200,000 benefit base after the later of the 10th anniversary of
the contract or when turning 70 if no withdrawals have been made
before that date. "Because of the uncertainty of the financial
markets, it may be difficult for people to predict exactly how much
money they'll be able to spend in retirement," said Claude Methot,
AXA Equitable's Senior Vice President and Chief Product Officer.
"One way for them to guarantee part of their income is to purchase
a variable annuity that will allow them to withdraw a certain
percentage every year for life." The Guaranteed Withdrawal Benefit
for Life (GWBL) optional rider available with the Accumulator
assures that the owner will receive a minimum amount of money every
year for life, regardless of the market's performance. The
guaranteed withdrawal percentage is determined by the owner's age
at the time of the first withdrawal; it can range from 4% to as
much as 7% of the benefit base. Moreover, the owner may see
increases in the withdrawal percentage if he or she experiences a
ratchet during an age band change. For example, owners who are 45
to 59 years old may withdraw 4% of the benefit base. But, if good
performance causes the benefit base to ratchet, owners who are 60
to 75 may withdraw 5% of the benefit base going forward. AXA
Equitable is one of the insurance industry's top-selling variable
annuity companies, according to industry data provider VARDS
(http://www.vards.com/). As of the third quarter of 2007, VARDS
reported that the company's total variable annuity year-to-date
sales reached $11.425 billion. It ranked No. 2 with a market share
of 8.6%, VARDS said. About Variable Annuities A deferred variable
annuity, such as the Accumulator(R) variable annuity, is a
long-term financial product designed for retirement purposes. In
essence, an annuity is a contractual agreement in which payment(s)
are made to an insurance company; the insurance company then agrees
to pay out an income or a lump sum amount at a later date. Variable
annuity contracts are not insured by the FDIC or any other
government agency. They are not deposits or obligations of any bank
and are not bank guaranteed. Amounts in an annuity's variable
investment portfolios are subject to fluctuation in value and
market risk, including loss of principal. Typically, variable
annuities have mortality and expense (M&E) charges, account
fees, investment management fees, and administration fees. In
addition, annuity policies have exclusions and limitations; early
withdrawals may be subject to surrender charges; and, if taken
prior to age 59 1/2, a 10% federal income tax penalty may apply.
About Accumulator(R) Optional living benefit riders including the
Guaranteed Withdrawal Benefit for Life (GWBL) are subject to
additional charges and to additional conditions and limitations.
The benefit base mentioned in this announcement is used to
determine GWBL amounts but does not have a cash value. All
guarantees discussed herein are subject to the claims-paying
ability of AXA Equitable Life Insurance Company. The guarantees do
not apply to the investment portfolios. AXA Equitable has sole
responsibility for its annuity and life insurance obligations.
Certain types of contracts, features, and benefits may not be
available in all jurisdictions. For costs and complete details of
coverage, interested parties should speak to their financial
professional / insurance licensed registered representative.
Interested parties should carefully consider the charges, risks,
expenses, and investment objectives of the Accumulator before
investing. For a prospectus containing this and other information,
people may call AXA Advisors at 212-314-4600. People should read it
carefully before investing or sending money. Accumulator variable
annuities are issued by AXA Equitable Life Insurance Company, New
York, N.Y. 10104. They are co-distributed by affiliates AXA
Advisors, LLC and AXA Distributors, LLC. Contract form numbers 2006
BASE-A/B, 2006 BASE-1-A/B, and any state variations. About AXA
Equitable AXA Equitable Life Insurance Company, which has been in
business since 1859, is a leading nation-wide issuer of life
insurance and annuity products. The company has over 11,000
employees and sales personnel and approximately 4.8 million
policy/contract holders nation-wide as of December 31, 2006. AXA
Equitable's parent company, AXA Financial, Inc., is a member of the
global AXA Group, a worldwide leader in financial protection and
wealth management. AXA Group's operations are geographically
diverse, with major operations in Western Europe, North America,
and the Asia/Pacific region. The AXA ordinary share is listed on
the Paris Stock Exchange and trades under the symbol AXA. The AXA
American Depositary Share is also listed on the NYSE under the
ticker symbol AXA. AXA Equitable is a sponsor of the Variable
Annuities Knowledge Center (http://www.variableannuityfacts.org/),
an online resource aimed at helping consumers understand the facts
surrounding variable annuities. The Variable Annuities Knowledge
Center is operated by a stand-alone non-profit organization and it
is overseen by an independent advisory board. DATASOURCE: AXA
Equitable CONTACT: Lisa Tibbitts, +1-212-314-2811, , or Discretion
Winter, +1-212-314-2968, , both of AXA Equitable Web site:
http://www.axa-equitable.com/ http://www.vards.com/
http://www.variableannuityfacts.org/
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