IncomePlus Web Site
The IncomePlus product is a new type of product in Canada, providing a Guaranteed Minimum Withdrawal Benefit. Clients pay an additional fee to insure that if the markets don't cooperate, they can still rely on a minimum payment for life (assuming they are over 65 at the start of withdrawals). The advantage of this program is that if the market continues to provide gains in excess of their withdrawal rates, the payments will increase going forward, but cannot decrease.
Exceeding the withdrawal thresholds may have a negative impact on future payments. The Lifetime Withdrawal Amount is available after December 31st of the year the annuitant turns age 65. Payments can continue until the contract reaches maturity or upon death of the last surviving annuitant.
The Manufacturers Life Insurance Company is the sole issuer and guarantor of the Manulife GIF Select Insurance Contract.
Any time a product provides a guarantee, there is a cost. The value of the guarantee is in the heart of the beholder, but I invite you to have a look at the quick link above.
