The Nationwide Summit by Nationwide Financial is a single purchase payment, fixed indexed, tax-deferred annuity that offers the added benefit of principal protection. The annuity is aimed at annuitants who fear the volatility in markets but still require reasonable growth potential. The annuity has a 7-year CDSC (Contingent Deferred Sales Charge) Schedule.
Nationwide Summit Annuity Details
Issue age
The issue age is 0-85 years for joint annuitants, 0-90 years for single annuitants. Owners may be of any age.
Minimum initial investment
- Minimum qualified payment- $25,000
- Minimum non-qualified payment- $25,000
Available indices
S&P 500Index and JP Morgan MOZAIC Index are available for the Nationwide Summit annuity.
Account options
Index Account: Tiered caps are available depending on the premium. An annuitant’s earnings are credited annually depending on how the underlying index performs.
Purchase payment could also be credited to all fixed and indexed options in any percentage.
Fixed Account: The yearly interest is credited on a daily basis.
Free withdrawals
Annuitants can withdraw up to 10% of their contract value at the start of each term. This will be on a non-cumulative basis. All free withdrawals made from the account do not receive account earnings.
Death benefit
The death benefit will be equal to the policy value. The joint option allows for a spouse to become a co-annuitant where the death benefit will be paid after the death of either spouse. The surviving spouse can receive the entire benefit or continue the annuity contract.
Advantages of Nationwide Peak
- Tax deferral leads to growth
- Spousal protection ensures that the death benefit is paid to the surviving spouse
- Growth potential due to higher credited earnings
- Better protection from market risk and volatility
