Cap rates for fixed indexed annuities have been increasing, which is fantastic news for clients. However, annuities are not one-year contracts, and a high-cap rate in the first year is not the only thing to consider. In future years, cap rates can change.

Chasing the highest caps comes with the possibility of a renewal rate conversation in the future that may not be quite as exciting. Since none of us have that elusive crystal ball, it's certainly possible cap rates renew lower next year, meaning clients may not achieve the best possible outcome over time. In a world filled with more uncertainty than ever, why not consider a guaranteed cap rate?

Protective is currently offering an S&P 500 Annual Point to Point Cap Rate in excess of 7.00% - and it's guaranteed for 10 years! No worries about renewal rates or uncomfortable conversations with clients.

To learn more about how to take advantage of this competitive cap rate, contact your Protective representative.