Massachusetts Mutual Life Insurance Company has come to stormy investment market waters with a product that offers stability.
MassMutual today introduced the MassMutual Envision Variable Annuity contract.
An optional MassMutual RetirePay rider can provide guaranteed lifetime withdrawal benefits.
Paul LaPiana, MassMutual's head of product, said the new annuity and the benefit guarantee rider can help retirees supplement Social Security benefits with an additional source of predictable income.
"Retirement years can be filled with uncertainty," LaPiana said. "Securing retirement income predictability with multiple guaranteed retirement income stream options can bring peace of mind and optimism."
The Guarantee
MassMutual is promising to provide "an annual lifetime benefit amount" for clients who buy the new annuity with the RetirePay rider, and who allocate assets in a specified way. Guarantee users must choose from a relatively short list of sub-accounts. Some are managed by Fidelity, Invesco, Delaware Ivy, Janus Henderson and Pimco. Many are managed by MassMutual's own asset management arm.
If a guarantee user meets the rider conditions, the annual lifetime benefit amount "will never lose value due to negative market performance," MassMutual said in the product launch announcement
MassMutual has designed the contract for sale through agents who earn sales commissions.
