ING Fixed Annuities Introduces Guaranteed Withdrawal Benefit for Life

ING Fixed Annuities has introduced the ING IncomeProtector Withdrawal Benefit, an ING USA fixed-index annuity rider that provides an optional guaranteed stream of payments for life, according to a company announcement this week. ING IncomeProtector Withdrawal Benefit rider features both payment flexibility and an annual increase to the guaranteed withdrawal base amount that helps offset the potential effects of inflation. "The new rider leverages ING USA's experience in guaranteed payment annuities with what we've learned about clients' needs and expectations for index annuity solutions," said Chad Tope, senior vice president, ING Fixed Annuities Distribution.

While the ING IncomeProtector Withdrawal Benefit can provide guaranteed payments for life -- a popular feature among many retired savers -- payments under the newly-introduced fixed-indexed rider can stop or resume at any time the annuitant wishes, and the annual increase to the base amount feature is unique among currently available fixed index annuities, according to Tope. He said the flexibility aspects of the guaranteed stream of payments for life benefits, coupled with the base increase that helps offset the potential effects of inflation, make ING IncomeProtector Withdrawal Benefit particularly attractive to individuals and married couples who want a stable stream of payments and need flexibility with their money as well.

Built-in increase to GW base helps offset inflation

The ING IncomeProtector Withdrawal Benefit feature provides an annualized 1.5% increase in the guaranteed withdrawal base designed to offset or partially offset the effects of inflation, Tope explained. He said the annualized increase to the guaranteed withdrawal base begins when the annuity withdrawal phase begins (the initial withdrawal payment) and applies throughout the withdrawal phase, as long as the accumulation value is greater than zero.

"The automatic increases to the GW base feature means that the Maximum Annual Withdrawal amount will grow based on the minimum guaranteed withdrawal base, which helps offset the effects future inflation may have on the annuitant's stream of income," said Tope.

Payment flexibility & other features

Because a guaranteed stream of payments is important to many retirees, but not always needed with the regularity an annuity can provide, the flexible payment feature will appeal to some. With ING IncomeProtector Withdrawal Benefit, annuity payments for life can stop or resume at any time the annuitant wishes.

"Withdrawals up to the Maximum Annual Withdrawal amount are free of surrender charges and any market value adjustments that apply," Tope also noted. "It's about providing the control and flexibility many retirees expect with their money," Tope said. Tope also said that the annual 35 basis points fee will be refunded upon the annuitant's death if no withdrawals have been taken from the annuity, another feature unique to the ING IncomeProtector Withdrawal Benefit rider.

According to the announcement, the ING IncomeProtector Withdrawal Benefit rider is available on the following suite of ING USA fixed-index annuity contracts:

  * ING Secure Opportunities Plus
  * ING Secure Index Five
  * ING Secure Index Seven
  * ING Selectra Multi-Strategy Annuity
  * ING Secure Index Outlook

ING is a global financial institution of Dutch origin offering banking, insurance and asset management to more than 60 million private, corporate and institutional clients in more than 50 countries. With a diverse workforce of over 115,000 people, ING comprises a broad spectrum of prominent companies that increasingly serve their clients under the ING brand.

In the U.S., the ING family of companies offer a comprehensive array of financial services to retail and institutional clients which include life insurance, retirement plans, mutual funds, managed accounts, alternative investments, direct banking, institutional investment management, annuities, employee benefits, financial planning, and reinsurance. ING holds top-tier rankings in key U.S. markets and serves over 14 million customers across the nation. For more information, visit www.ing.com

Contracts issued by ING USA Annuity and Life Insurance Company, 909 Locust Street, Des Moines, IA 50309. Interest Rates/Participation Rates/Index Caps/Index Spreads subject to change. Products/features not available in all states. Withdrawals may be subject to Federal/State income tax and, if taken prior to age 59 1/2, an additional 10% Federal penalty tax. Neither the company nor its agents and representatives can provide tax, legal or accounting advice. Clients should consult their own attorney or tax advisor about their specific circumstances. Withdrawals do not participate in index interest. Guarantees based on claims paying ability of the insurer. IRAs and other qualified plans already provide tax deferral like that provided by an annuity. Additional features and benefits such as contract guarantees, death benefits and the ability to receive a lifetime income are contained within the annuity for a cost. Please be sure the features and costs of the annuity are right for you when considering the purchase of the annuity.

Please note that the likelihood of obtaining value from the ING IncomeProtector Withdrawal Benefit rider decreases as issue ages increase. In order for owners issue age 75 and above to benefit from this rider, the interest credited to your accumulation value must be significantly less than expected based on historic averages. Depending on your issue age and the interest credited to your accumulation value, deferring your payment stream may significantly reduce the likelihood of obtaining value from the ING IncomeProtector Withdrawal Benefit.

First Call Analyst:
FCMN Contact: chuck.eudy@us.ing.com

SOURCE: ING U.S. Financial Services

CONTACT: Chuck Eudy of ING US Financial Services, +1-770-980-5209,
+1-770-490-6420 (mobile), chuck.eudy@us.ing.com

Web site: http://www.ing.com/us