Group Variable Annuity
Product ID: 128
Type:
Variable Annuity
$235
0.85%
6 Years / 5.00%
Yes
Roth Eligible
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Enrollment and Questions
Use the following contact information to enroll or ask questions.
E-mail:
Address:
Website:
Phone:
(217) 788-5799
E-mail:
Address:
1 Horace Mann Plaza
Springfield, IL 62715
Springfield, IL 62715
In-person:
Questions about enrollment?
View the Contact Information tab on the Vendor Details page for a list of office locations.
View the Contact Information tab on the Vendor Details page for a list of office locations.
- Product Details
- Fees and Charges
- Investment Options
This group variable annuity is offered by Horace Mann Life Insurance Company and provides approximately 40 variable investment options, a general fixed account and multi-year guarantee period fixed accounts with Market Value Adjustments (MVA). The company allows free access each year to 10% of the premiums paid. Otherwise, a surrender charge would apply for the first 5 years of the certificate. Minimum guarantee and enhanced death benefit options may be available. Dollar Cost Averaging and Asset Rebalancing are offered. This product may not be available in all school districts.
Select the topics below to expand and view additional product details
Asset allocation is a strategy for managing your investment portfolio. You decide how much to allocate into each investment type, also called asset class, based on your risk tolerance and your financial goals. This annuity offers a fixed account including guarantee period accounts plus approximately 40 variable investment options comprising all the Morningstar asset classes. The minimum allocation to each investment option is $100. You can allocate your current premiums amongst up to 24 investment options at a time.
Rebalancing is the periodic adjusting of investment option balances to maintain a pre-established asset allocation strategy. You may request a rebalancing of your portfolio either once or on a periodic basis. For periodic rebalancing requests, you may select from a quarterly, semiannual or annual period. You may rebalance your portfolio value into as many as 10 other investment options. Rebalancing of the guarantee period accounts may be restricted.
Dollar cost averaging is a systematic method of investing in which securities are purchased at regular intervals in fixed dollar amounts so that the cost of the securities is averaged over time and possibly over various market cycles. You may preschedule a series of transfers from the general fixed account and between the variable investment options to take advantage of dollar cost averaging. You may select from a 3-month, 6-month or 12-month period to complete the DCA program. You may transfer value from one existing investment option into as many as 10 other investment options.
Loans against the fixed account value are available starting at issue of the certificate. The minimum loan amount required is $500. The maximum loan amount is limited to (1) Internal Revenue Code limits, or (2) $50,000 or (3) 50% of the fixed surrender value. You must repay the loan within five years unless the loan is to be used to acquire or build a dwelling unit that will be used as principal residence, in which case the repayment period can be as long as 25 years, subject to a minimum quarterly repayment of $250. The term of the loan cannot extend beyond age 70.
Upon a financial hardship, we will waive any applicable surrender charge and Market Value Adjustment on withdrawals taken in accordance with the terms set forth in the school plan document. This is a standard provision of the certificate and there is no extra charge for this feature.
The company provides for the payment of Internal Revenue Code Required Minimum Distributions based on the value of the certificate. Surrender charges and market value adjustments would not apply.
Yes
Riders are amendments to the annuity contract that typically add to your costs. make sure you inquire about any additional costs. The following riders exist for this product:
Upon a participant's continuing total disability, we will waive any applicable surrender charge and Market Value Adjustment. Disability must begin at least three months immediately prior to receipt of the withdrawal request. Proof of disability is required. This is a standard provision of the certificate and there is no extra charge for this feature.
GMDB Riders:
Before income payments begin, the death benefit is the account value. The company may offer two optional enhanced death benefits. [1] a designated percent Accumulation-the guaranteed death benefit is the premiums (less premium taxes and adjustments for withdrawals/loans) accumulated at the designated interest rate, capped at a maximum of 200% of premiums (less premium taxes and adjustments for withdrawals/loans.) This accumulation ends at age 80. There is an maximum annual charge of 0.30% of variable account value. [2] 1-year Step Up-the guaranteed death benefit is the maximum anniversary account value up to age 80 adjusted by any loans. There is a maximum annual charge of .20% of the variable account value.
Before income payments begin, the death benefit is the account value. The company may offer two optional enhanced death benefits. [1] a designated percent Accumulation-the guaranteed death benefit is the premiums (less premium taxes and adjustments for withdrawals/loans) accumulated at the designated interest rate, capped at a maximum of 200% of premiums (less premium taxes and adjustments for withdrawals/loans.) This accumulation ends at age 80. There is an maximum annual charge of 0.30% of variable account value. [2] 1-year Step Up-the guaranteed death benefit is the maximum anniversary account value up to age 80 adjusted by any loans. There is a maximum annual charge of .20% of the variable account value.
The company provides (1) Joint with 50% to the Survivor, (2) Joint with 67% to the Survivor, and (3) Joint with 100% to the Survivor. This option can be elected anytime after issue of the certificate. This option is available on either a fixed or variable payout basis. Surrender charges would not apply when this option is selected. A market value adjustment would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option cannot be changed. Annuity payments cease upon the death of both annuitants.
The company provides a lifetime income on the life of one individual. This option can be elected anytime after issue of the certificate. This option is available on either a fixed or variable payout basis. Surrender charges would not apply when this option is selected. A market value adjustment would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option cannot be changed. Annuity payments cease upon the death of the annuitant.
The company provides a lifetime income on the life of one individual. A Period Certain of 10, 15 or 20 years can be selected. This option can be elected anytime after issue of the certificate. This option is available on either a fixed or variable payout basis. Surrender charges would not apply when this option is selected. A market value adjustment would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option cannot be changed. Upon the death of the annuitant before the end of the Period Certain, annuity payments would continue to be made to the beneficiary until the end of the selected Period Certain.
The company provides a lifetime income on the life of one or two individuals whereby a refund of the original consideration less payments made to-date is guaranteed. This option can be elected anytime after issue of the contract. Surrender charges would not apply when this option is selected. Once annuity payments have begun, this option cannot be changed. Upon the death of the annuitant(s), payments will continue to the beneficiary until the refund amount is exhausted.
The company provides a lump sum option. This is in essence a surrender of the certificate. This option can be elected anytime after issue of the certificate. Surrender charges would apply when this option is selected. A market value adjustment would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period.
The annuitant can select payments to be made for a specified period of time. The specified period can be as short as five years if the payments extend beyond the 10th certificate anniversary, and as long as 30 years. This option is available only on a fixed payout basis. This option can be elected anytime after issue of the certificate. Surrender charges would not apply when this option is selected. An MVA would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option can be changed. If a lump sum is requested after annuity payments have begun, any applicable surrender charges would apply. Upon the death of the annuitant, any remaining annuity payments would be made to the beneficiary.
Fixed Amount:
The company provides a settlement option whereby the annuitant can select payments to be made for a specified amount. The specified amount must be such that the payments extend beyond the 10th certificate anniversary. This option is available only on a fixed payout basis. This option can be elected anytime after issue of the certificate. Surrender charges would not apply when this option is selected. An MVA would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option can be changed. If a lump sum is requested after annuity payments have begun, any applicable surrender charges would apply. Upon the death of the annuitant, any remaining annuity payments would be made to the beneficiary.
The company provides a settlement option whereby the annuitant can select payments to be made for a specified amount. The specified amount must be such that the payments extend beyond the 10th certificate anniversary. This option is available only on a fixed payout basis. This option can be elected anytime after issue of the certificate. Surrender charges would not apply when this option is selected. An MVA would apply to any amounts put on this option from guarantee period accounts before the end of the guarantee period. Once annuity payments have begun, this option can be changed. If a lump sum is requested after annuity payments have begun, any applicable surrender charges would apply. Upon the death of the annuitant, any remaining annuity payments would be made to the beneficiary.
Additional Bonus Credit
This group variable annuity offers guarantee period accounts which guarantee an interest rate for the specified period of time. The company offers 5, 7 and 10-year periods of time for this guarantee. A market value adjustment pertains to these accounts and would apply upon premature withdrawals. At the end of the guarantee period, the value is transferred to a money market account of the variable account.
All 403(b) products contain fees. The amount of fees varies greatly depending on the product. A slight increase in fees can
substantially reduce the growth in your account which will reduce your income in retirement. To learn more about the impact
of fees, and the different types of fees please refer to the
Explanation of Fees piece located in the
Help & Resources.
Fees
|
|
$25.00 | Annually | Flat Dollar Amount | Yes | No | No |
|
|
1.25% | Annually | Percentage of Annual Assets | Yes | No | No |
Surrender Charges
| Surrender Period* | Surrender Percentage |
|---|---|
| 1 | 5.00% |
| 2 | 5.00% |
| 3 | 5.00% |
| 4 | 5.00% |
| 5 | 5.00% |
| 6 | 0.00% |
*Expressed in contract years
Surrender Penalty Charge assessed on a "rolling" basis:
The surrender charges are expressed as a percentage of the premiums that are withdrawn. The charges are based on the premium year of each premium withdrawn. It will be assumed that withdrawals will be deducted from premium first, on a first in first
Exceptions to the Surrender Charge:
Other Restrictions:
Exceptions to the Surrender Charge:
Percent of purchase payments:
10.00%
Death:
Yes
Disability:
Yes
Financial Hardship:
Yes
Surrender charges are waived on withdrawals taken to satisfy minimum distributions required by the Internal Revenue Service.
