Fixed Annuity

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A fixed annuity offering choices to balance your accumulation and liquidity needs


Does your financial time horizon rule out most annuities?

Is access to a portion of your money important to you?

Do you seek opportunities with future interest rate movements?


The choice is clear . . . for peace of mind and tax-deferred growth.



CHOICEFOUR from EquiTrust Life Insurance Company® is a tax-deferred annuity featuring competitive

one-year renewable interest rates, access to your money and protection of your principal. It is built on the understanding that competitive returns and minimal taxation are critical to reaching your retirement goals. You choose the time horizon that best fits your liquidity needs and a strategy that suits your interest rate outlook.


CHOICEFOUR is a single premium deferred annuity with a twist – you can make additional premium payments anytime during the first contract year. Plus, you have a variety of choices to customize your contract to suit your objectives.

CHOICEFOUR is really four products in one. You choose the product for you:


The “Base Contract” features a one-year fixed rate that is reset annually. All premiums paid in the first contract year will receive the same interest rate as the initial premium. The interest rate in subsequent years may change on each contract anniversary – subject to the Minimum Guaranteed1 Interest Rate.


Upon partial withdrawal or surrender2, you are subject to a surrender charge on the accumulation value, in effect for nine years and declining annually: 12, 11, 10, 9, 8, 7, 6, 4 and 2 percent.3


If you need access to money from your contract, you may withdraw interest earned in the prior 12 months, and do so without surrender charges.



If you’re confident that you will not need access to your money early, you may choose the Market Value Adjustment (MVA) Option. This option gives you an immediate 1.50 percent premium bonus, applied to all premiums received in the first contract year.

The Market Value Adjustment Option affects early surrenders of the contract in excess of the free withdrawal provision. The MVA may increase or decrease the accumulation value surrendered when interest rates move up or down relative to rates at the time of your annuity purchase. At the end of the surrender charge period, your cash surrender value will equal the full accumulation value. Ask your agent for more details on the MVA, or refer to your contract.



If you have a financial time horizon shorter than nine years, you may choose the shortened surrender charge schedule available with the Liquidity Option. This will reduce your surrender charge schedule to six years, declining annually: 12, 11, 10, 9, 8 and 7 percent.3 The cost of the Liquidity Option is reflected in an interest rate slightly lower than the rate available with the Base Contract.


In addition, the Liquidity Option allows you greater access to your money. You may withdraw up to 10 percent of the accumulation value annually without surrender charge, beginning in the second contract year. Although withdrawals of greater than 10 percent can be made, a surrender charge will be applied to amounts exceeding the 10 percent maximum.


Keep in mind that any withdrawals may be subject to federal income tax, and you may incur a 10 percent IRS penalty tax on withdrawals taken prior to age 591/2.



This option combines the benefits of both. If you prefer a shorter surrender charge schedule, yearly access to 10 percent of your accumulation value without surrender charge or MVA, as well as a 1.50 percent premium bonus in exchange for the Market Value Adjustment and a slightly lower interest rate, then both Options may be right for you.


Getting Started

CHOICEFOUR is available for issue ages 0-85. You pay no initial front-end sales charges or annual maintenance fees; 100 percent of your premium goes to work for you right away.


Other Features


Several annuitization payment options are available, including payment for life, payment of a designated amount or payment for a certain period of time. You determine the schedule that best fits your financial circumstances – a period as short as 5 years, or for as long as the annuitant is alive. Your agent can help you determine the most appropriate payment option, or discuss a specific payment schedule you may have in mind.


Currently, all interest income earned on an annuity accumulates on a tax-deferred basis. No income taxes are payable until you receive a payment from your contract. If you are under age 59 1/2 at the time of withdrawal, an additional 10 percent IRS penalty may be imposed. Tax deferral is currently available only to individuals and joint owners, not to corporations or other non-individuals.4



You are guaranteed, upon surrender, to receive no less than 100 percent of your premiums, excluding any premium bonus if applicable, less any partial withdrawals, plus interest earned at a rate of no lower than 1% and no higher than 3%, less surrender charges.



For additional peace of mind, your contract includes a Nursing Home Waiver Rider5 at no extra cost.

Available at issue up to age 80. If you are confined to a nursing home or hospital for 90 days or more, your contract accumulation value will be available without surrender charges or MVA beginning in the second contract year and during your confinement.


If the owner of the annuity dies, the full accumula- tion value is paid to the beneficiary, without surren- der charges or MVA. Upon death of an owner, the beneficiary may choose to have the death benefit paid immediately or applied to a payment option.



After your CHOICEFOUR contract is issued, you have a specified number of days to review it; see your contract for complete details. If you are not com- pletely satisfied with the terms, you may return the contract and receive 100 percent of your premiums paid, less any prior withdrawals.


Ask Your Agent

Ask about the variety of options that CHOICEFOUR offers for the stages of your life, or refer to your contract.


This is a summary only. CHOICEFOUR may not be available in all states. In those states where it is available, certain provisions may vary or may not be available. Prior to purchasing this contract, contact your agent or the company for complete contract provisions and details.

American Equity’s Commission Rates

Effective January 3, 2017, the commission rate on American Equity’s Foundation Gold will be adjusted.  The street-level commission rate will be reduced by 30 bps, which is less than a 5% change.  Other companies within the industry made a similar commission rate reduction in the third quarter of 2016.  The Foundation Gold commission Option A will still be 50 bps above the industry average for comparable products.

American Equity offers one of the highest premium bonuses in the industry on a 10-year product where the bonus is not contingent upon the purchase of special riders or features.  In order to maintain this product for your clients, American Equity made this decision to make a slight reduction in the commission rate.

The new commission payout will be applied to Foundation Gold applications received January 3, 2017 and after.  Applications received by 1:00 p.m. CST on December 30, 2016 will receive the current rate.  No exceptions.

We appreciate your business.


Please call DFS Marketing at 855-740-3140 for more information.




For agent use only.

Choice Series Rate Adjustments Effective December 6, 2016

American Equity’s Choice Series rates has been changed on December 6, 2016.  We are happy to announce that rates are increasing on the Annual Point to Point with Cap and Annual Point to Point with Participation Rate.

All contracts issued December 6, 2016 or after will receive the new rates as outlined below.  There will be no rate adjustments made to previously issued contracts.


Choice 10 (ICC 14 IDX8-10) Current Rates New Rates
Interest Crediting Methods Fixed Value

Annual PTP – cap

Annual PTP – PR

Monthly PTP – cap

Volatility Control Index W/Spread






No Change



No Change

No Change




Choice 8 (ICC 14 IDX8-8) Current Rates New Rates
Interest Crediting Methods Fixed Value

Annual PTP – cap

Annual PTP – PR

Monthly PTP – cap

Volatility Control Index W/Spread






No Change



No Change

No Change



Choice 6 (ICC 14 IDX8-6) Current Rates New Rates
Interest Crediting Methods Fixed Value

Annual PTP – cap

Annual PTP – PR

Monthly PTP – cap

Volatility Control Index W/Spread






No Change



No Change

No Change




Spread is the same as Asset Fee as described in the Contract.




Please call DFS Marketing at 855-740-3140 if you have any questions.





For the Agent use only.


American Equity Products Discontinued in California

As required by the state of California, sales for the following American Equity products will be discontinued effective December 30, 2016.

Bonus Gold (INDEX-1-07) Retirement Gold (INDEX-2-09) Advantage Gold (INDEX-6-07) Premier Eagle 10 (FPDA-7-08) Premier Eagle 12 (FRG-2-09)


Business for the products listed above must be ISSUED by December 30, 2016. Business not issued by December 30, 2016 will be returned or need to be applied to an available product. If it is applied to an available product, the new product disclosure will be required.  No exceptions.


Good news! We are still able to offer the Choice Series and Traditions Gold products. In addition, the Foundation Gold will remain available, but will offer adjusted features such as:

Change to surrender charge schedule 9 year bonus vesting schedule

1% Minimum Guarantee Interest Rate (applicable to the Minimum Guarantee Surrender Value    only)

Modified commission rate


Pending business on the Foundation Gold that is not issued by December 30, 2016 will require a new disclosure PRIOR to issue.


As our industry continues to change and evolve, American Equity remains committed to you and providing quality products and first-in-class customer service. We will keep you informed on additional developments including the NEW California Gold which will be available January 1, 2017. The California Gold has many features, including:

5% premium bonus which vests over a nine year period 10% free withdrawal after the first contract anniversary 10 interest crediting options



For more information, please call DFS Marketing at 855-740-3140


**Product Training is required before writing an annuity application**






For agent use only.


LibertyMark Going “LT” in California

California’s new standard nonforfeiture requirement—placing restrictions on the length and percentage of surrender charges for all annuities issued and delivered to California residents—takes effect January 1, 2017.

Starting that date, Americo Financial Life and Annuity Insurance Company’s 10-year FIAs will be replaced with LibertyMark 10 LT, SE 10 LT, 10 LT Plus, and SE 10 LT Plus. The seven­year FIAs—7, SE 7, 7 Plus, and SE 7 Plus—will remain available in California after January 1, 2017.

The “LT” and “non­LT” versions of the 10­year products share the same great rates—for instance, the two-year point-to-point participation rate for both LibertyMark SE 10 and LibertyMark SE 10 LT is currently 92%.

Product differences are noted below and include updated 10-year surrender charge schedules, an 8%accumulation bonus, and “LT” commission rates.



To receive the 10-year non-LT versions of LibertyMark in California, contracts must be issued by Friday, December 30, 2016. All contracts issued after this date will be issued as “LT,” regardless of when the application was received.

Disclosures—New annuity disclosure forms for California will be available on The Forms Store by the end of December and must be included with new business submitted on and after January 1, 2017.

Avoid new business and commission delays by ensuring the new disclosures are used, and please discard any older versions you may have.


Questions? Please contact DFS Marketing at 855-740-3140.

We appreciate your business!