RICHMOND, Va., Feb 15, 2006 /PRNewswire-FirstCall via COMTEX News Network/ -- Genworth Financial, Inc.
today announced the introduction of the SecureLiving(SM) Classic Indexed
Annuity, issued by Genworth Life Insurance Company.
"The Classic Indexed Annuity is a powerful complement to our fixed annuity
line up," says Pam Schutz, President of Genworth's Retirement Income and
Investments group. "This product is another choice for Boomers seeking a
secure way to save for retirement that includes protection of principal and
tax-deferred growth."
Because the product's indexed interest rate is based on the performance of
the S&P 500, it gives people an opportunity for potentially higher rates than
other fixed interest alternatives.
"There are more than 240 index products on the market today with lots of
moving parts and complexity," says Schutz. "Because our focus is on delivering
consumer value in a clear way, we've designed a simpler product. Three key
areas consumers focus on are surrender period, participation rate and tax
treatment. The Classic Indexed Annuity is designed to deliver superior value
on all three."
Surrender period refers to how long you must stay invested to avoid early-
withdrawal penalties. The Classic Indexed Annuity offers no surrender charge
after only seven years. The annuity also offers a waiver when funds are needed
for extended hospital or nursing home stays of at least 30 days.
Participation rate is the percentage of the underlying index's gains that
will be credited to you. The Classic Indexed Annuity offers 100% participation
rate, up to the annual cap rate, currently 7%. For example, if the S&P rises
6%, you earn the full 6% because the participation rate is 100% (100% of 6%).
The Classic Indexed Annuity is a tax-deferred accumulation vehicle. You
don't pay income taxes on interest earnings until you receive them, usually at
retirement when you are likely to be in a lower income tax bracket.
About Genworth
Genworth Financial (NYSE: GNW) is a leading insurance holding company,
serving the lifestyle protection, retirement income, investment and mortgage
insurance needs of more than 15 million customers, with operations in 24
countries, including the U.S., Canada, Australia, the U.K. and more than a
dozen other European countries. For more information, visit
http://www.genworth.com.
SOURCE Genworth Financial
Anna Gauthier, APR, of Genworth Financial, +1-804-289-3740,
anna.gauthier@genworth.com
