Financial Security Plan is a flexible, affordable way to be among
the small group of workers who plan for their retirement - and who
retire with money to enjoy it. This 3-part financial security plan
is more than just a life insurance policy; it also includes disability
benefits and a tax deferred annuity that ensure you will complete
your retirement plan and protect yourself and your family in case
of your disability or premature death before retirement.
Build Funds In A Tax Deferred Annuity
tax-deferred annuity is a cash accumulation account with flexible
options that let you receive income monthly, generally beginning at
retirement and continuing throughout your life usually with payments
guaranteed for a specific period of time. In addition, it has these
You pay no income taxes on the
earned interest until you withdraw money at retirement - when you
are likely to be in a lower tax bracket.
A guaranteed minimum interest
rate of 4%. A current interest rate is earned on balances in your
account each year.
That rate is based on economic
conditions and the company's earning ability.
You can withdraw money from your
account before retirement.
Any withdrawals made before age 591/2, however, are subject to a penalty
imposed by the IRS.
Keep Your Retirement Plan Growing Even If You Can't Work
Most retirement plans depend on
your ability to work and make periodic contributions to the account.
But what happens if you're disabled and can't work? With Financial
Security Plan coverage, if you have a disabling accident or illness
before age 65, and cannot work for six months or longer, the company
Refund all premiums paid after
you become disabled.
Pay the premium on your death
benefit for as long as your disability lasts, or until you reach age
70 Also, pay your annuity premium as stated in the policy for as long
as you are disabled or until you reach age 65.
Income For Your Family In Case of Your Death
Financial Security Plan's death benefit gives your family a source
of income to depend on in the event of your premature death before
retirement. This benefit:
Is life insurance - a 10year level
term life insurance policy that is renewable to age 70.
Pays a specific amount of money
to your beneficiary to cover final expenses and provide on-going income.
Returns the entire accumulated
amount in your retirement annuity to your beneficiary.
Once you're been active in the
plan for 10 years, you can have all future payments applied to your
tax deferred annuity, where they will earn current rates of interest.
Your life insurance and disability
benefits will no longer be in force. Remember, the Financial Security
Plan is not intended to replace existing insurance.
It increases the protection you're
providing your family and assures the completion of your retirement
program in the event of your disability or premature death.
Security Plan* With The Flexibility You Need
Your Financial Security Plan is
a convenient life and retirement program with extra coverage to ensure
that you reach your program goals regardless of illness or accidents
along the way. What's more, if you leave your present job, your Financial
Security Plan leaves with you.and continues to provide for your financial
security no matter where you work.
Other benefits include:
Premium Deposit Fund - an interest
earning short-term account that makes it easy to accumulate money
for making payments to adding to you're retirement plan.
You can contribute to the Premium Deposit Fund up until your planned
You may withdraw money from this account for any short-term cash needs.
Advanced Payment Benefit - if you are faced with a terminal illness
before you reach age 65, you can receive early payment of 50% of your
death benefit to help you handle the financial stress of the illness.
Our role is to kelp you achieve a secure and comfortable retirement.
*A ten-year level term life insurance policy with a tax deferred annuity
rider and disability waiver of premium benefit.
Underwritten by Colorado Bankers Life Insurance Company, a wholly
owned subsidiary of Preferred Financial Corporation.