Defined terms for the annuity market and lifetime income landscape.
Portability of lifetime income options is the participant-facing right — addressed by the SECURE Act — to preserve or transfer a lifetime income arrangement when a plan sponsor discontinues it or the participant separates from the plan, avoiding forced surrender below actuarial value.
Portfolio withdrawal strategy is any structured approach to drawing income from an investment portfolio in retirement, specifying the withdrawal amount, adjustment rule over time, and asset allocation intended to sustain the withdrawals over the planning horizon.
A premium bonus is an amount credited by the carrier to a deferred annuity contract at issue or on additional premiums, expressed as a percentage of the premium and added to the accumulation value, funded through some combination of declared-rate adjustment, schedule extension, and embedded spread.
Private credit in insurance general accounts is the practice of allocating a portion of an insurance carrier's general account assets to directly originated or privately placed loans — typically middle-market direct lending, asset-based finance, or other non-traded credit holdings.
