What will we be covering in this review of the Prudential PruSecure Annuity?
In this review, we will be going over how you can learn more about the Prudential PruSecure Annuity directly from the comfort of your own home (or at least, from your tablet, phone, or computer).
In addition to discussing the features – including the pros and cons of the PruSecure annuity from Prudential – we will also be covering how you can quickly, easily, and conveniently research this annuity online.
Annuities can be complex. That’s where having an Annuity Investigator who loves math comes in.
We make the complex, simple.
PruSecure indexed annuity could be a good option for you. That’s because this annuity provides the opportunity for market-linked growth, while at the same time keeping your principal safe in any type of market.
This annuity can also provide you with a lifetime stream of income during retirement – regardless of how long you live. But it is also important to be cautious before you hand your money over to any insurance or financial company before you know how a product works.
Until fairly recently, financial planning took place in person, with the advisor on one side of the desk, and the client(s) / investor(s) on the other. Unfortunately, because many financial vehicles can be somewhat complicated, clients had no other choice but to trust that their advisor was pointing them in the right direction for accomplishing their short- and long-term monetary goals.
But today, things have changed.
Due in large part to the Internet – and in turn, the massive growth of instant communication – investors are able to research and learn a great deal about products and services they’re considering. And that includes annuities.
Likewise, advisors can also take advantage of not only better educating their clients, but also making things easier on everyone involved in these types of transactions. Recently, SIMON Markets LLC expanded its online platform to help financial professionals with navigating the indexed annuity market. And this endeavor has the ability to change the way that financial professionals and their clients use annuities in retirement planning.
Initially teaming up with Prudential and its PruSecure indexed annuity, SIMON’s customizable tools can help financial advisors to gauge their clients’ risk profiles and investment horizons. This, then, can better ensure whether or not a particular annuity is right for a client’s needs.
Why Prudential’s PruSecure, when SIMON could have chosen hundreds of other potential products?
One reason, according to insiders, is because “The SIMON platform aligns closely with Prudential’s goal to bring innovation to the annuities market.”
SIMON is a Fintech (i.e., financial technology) company that has a goal of enhancing the digital experience for financial professionals by assisting them with making use of risk-managed solutions to serve their clients. Just some of these tools include education, real-time analytics, and lifecycle management.”
This can be particularly powerful when considering fixed indexed annuities – which can offer a lot of nice features and benefits, but also require that clients make some “tradeoffs” in order to attain all of the benefits.
Even so, over the past few years, the fixed indexed annuity, in particular, has become extremely popular. This is because a fixed indexed annuity, or FIA for short, can essentially offer the best of both worlds…or at least it can appear that way.
For instance, these annuities can provide the opportunity for a higher return than that of a regular fixed annuity, but without any market risk that would be incurred with a variable annuity. This growth takes place tax-deferred. And, the annuity can also provide a lifetime income – regardless of how long it is needed.
But in some cases, truly understanding how these benefits work can be a bit like smoke in mirrors. So, it is essential that investors become educated before making a potentially costly, long-term financial commitment.
Annuity and Retirement Income Planning Information You Can Trust
If this is your first time visiting our website, we would like to welcome you to Annuity Gator. We are a team of annuity and retirement income specialists who have a focus on offering comprehensive – yet non-biased – annuity reviews online.
We have been doing this for quite some time now, and because of that, many people have come to trust our annuity reviews because they don’t just focus on the “good” points about annuities, but also provide you with items to consider that could make a particular annuity a poor fit for your specific needs.
When researching annuities online, it is possible that you have come across some highly conflicting information about these products. This, however, isn’t really all that uncommon, as there are many different annuities, and there many different thoughts about them.
There are also a number of websites out there that provide some information about annuities and how they work but are much more interested in obtaining your contact information so that they can barrage your inbox with a multitude of emails about their products.
As nice as these claims may be, though, it means that it is even more necessary for you to make sure that they are actually true before you move forward and commit a large chunk of your money to such products.
In any case, if you have been looking for more in-depth details about the Prudential PruSecure Fixed Index Annuity, you are definitely in the right place. In fact, we dare say that our website is the only place where you can obtain ALL of the important information you need for making a well-informed decision about this (or any!) annuity.
Before we get too far into this review, we do want to be perfectly clear in stating that we believe that annuities can be a very viable financial option for some people – provided that they fit in with your other short- and long-term financial goals.
So, if you’re ready to begin this review, let’s go ahead and dive in!
The Prudential PruSecure Annuity at a Glance
|Type of Product||Fixed Indexed Annuity|
|Phone Number||(800) 778-4357|
Opening Thoughts on the Prudential PruSecure Fixed Indexed Annuity
For more than 140 years, Prudential Financial has helped individual and institutional customers with growing and protecting their wealth. The company is recognized as a trusted brand, as well as one of the world’s most admired companies.
As of year-end 2019, Prudential Financial held more than $1.5 trillion in assets under management and had approximately $4 trillion of gross life insurance in force around the globe.
Today, the company serves customers in more than 40 countries. Prudential was recently named to Forbes magazine’s 2019 list of companies that “Change the World.” It was also ranked 1st in the “Insurance: Life and Health” category of Fortune magazine’s 2019 list of “World’s Most Admired Companies,” and 1st in the Insurance category of Forbes and JUST Capital’s 2018 JUST 100 list.
Prudential is considered to be the largest life insurer in the United States (which encompasses life and health insurance combined), based on total admitted assets, as well as the largest based on total admitted assets.
More information on Prudential Financial can be found here.
Before we get into the gritty details, here are some necessary legal disclosures…
This is an independent annuity product review. It is not a recommendation to purchase or to sell an annuity. Prudential Life Insurance Company has not endorsed this review in any way, nor do we receive any type of compensation for providing this review. This annuity review is meant solely to be an independent review at the request of our readers so that they may see our perspective when breaking down the positives and the negatives of this particular annuity. Before purchasing any type of insurance and/or investment product, it is important that you do your own due diligence, and that you consult a properly licensed professional if you should have any specific questions that relate to your individual situation. All of the names, marks, and materials that were used for this annuity review are the property of their respective owners.
For more information on how to compare annuities in order to determine which one may be the best for you and your financial circumstances, click here to obtain our free annuity report.
How Prudential Describes the PruSecure Annuity
Prudential describes the PruSecure Fixed Indexed Annuity on its website as a tool that can help you to both grow and protect your money for the future.
There are a number of key benefits that are highlighted, including:
- Guaranteed Protection – Your original premium payment and any growth are fully protected against market loss
- Growth Opportunity – Your money can grow based on the performance of a market index or crediting strategy of your choice
- Legacy Protection – If you pass away during your index period (i.e., before the annuity is converted to an income stream), your beneficiary(ies) will receive a portion of any index growth up to that point
- Tax Deferral – You pay no taxes on any growth until you make a withdrawal
There is a choice of several different market indexes to track, including the:
- S&P 500
- Dow Jones U.S. Real Estate Index
- MSCI EAFE Index
- Bloomberg Commodity Index
This annuity offers two different ways to potentially grow your money. One is an index-based strategy, and another is a fixed rate strategy. You are able to decide the percentage of your money to allocate to each, as well as the term of each index-based strategy.
The money you have in the fixed-rate strategy is guaranteed to grow at a pre-determined interest rate for a period of one year. Funds that are allocated to the index-based strategies have the potential to grow based on the performance of your chosen index (or indexes) and are credited based on the comparison of the value on the first day to the value on the last day of your one, three, or five-year term. (This is referred to as point to point crediting).
At the end of the index term, you can opt to renew and/or reallocate, or you may continue with the same strategy and allocation. In order to view all of the most updated Prudential PruSecure details, you can go HERE.
The rate that you receive is based on the term you select. Typically, longer terms will equate to higher rates, and vice versa. In order to see the current PruSecure rate sheet, go HERE.
How an Advisor Might “Pitch” this Annuity
If you’ve talked with an insurance or financial advisor about the PruSecure fixed indexed annuity from Prudential, it is possible that he or she keyed in the opportunity for growth coupled with safety from market downturns.
Today, people are living much longer than ever before – and, while that can be positive in many respects, it can also bring about the worry of outliving your income in retirement. With many people who are preparing for retirement being concerned about growing their savings, while at the same time keeping their principal safe, it is possible that an insurance or financial advisor would present this annuity as a vehicle for accomplishing both of those goals. Plus, there is also the option to choose income for life with this annuity.
What the agent may or may not heavily focus on, however, is the “fine print” – which can more clearly explain some of the “tradeoffs” that you’ll need to make in order to garner some of the benefits.
For instance, the index-linked growth is “capped” or limited, based on the crediting strategy you choose. So, even if the underlying market index you’re tracking has a stellar performance, your return will really only reflect a portion of it.
In addition, while the insurance company promotes that you’ll have some “liquidity” with this annuity, the truth is that you can only withdraw up to 10% of the contract’s value during the surrender penalty – otherwise, you’ll be charged a fee.
Similar to getting a higher growth rate with longer guarantee periods, you will also have to take a longer surrender period. For instance, the seven-year guarantee period will result in you having a seven-year surrender period. The same holds true with the five-year rate guarantee period.
The Annuity Gator’s End Take on the Prudential PruSecure Index Annuity:
Where it works best:
This particular annuity will usually work the best for those who are looking for:
- The opportunity to obtain a higher rate of growth than that of a regular fixed annuity
- Safety of principal
- Lifetime income
Where it works worst:
Conversely, this particular annuity may not fare so well for those who:
- Want or need to access their funds penalty-free within the first several years of the contract (during the surrender period)
- Do not intend to use the guaranteed lifetime income feature
There are a number of different factors that should ideally be considered before you commit to a long-term financial product like an annuity. If you are still leaning towards purchasing a fixed index annuity like the PruSecure fixed index annuity from Prudential, you can be assured that your principal will be safe from the ups and downs of the stock market, as well as that you will have a future retirement income that you can count on.
But in reality, the only way to really know if this particular annuity (or for that matter, any annuity) is right for you is to have it tested. We can do this for you and provide you with an in-depth and personalized spreadsheet that shows you how the annuity may perform given your specific parameters.
In going this route, you could find that it fits the bill for you – or, you may instead find out that there may be some other products out there that work better for you and your particular situation.
If you would like to move forward with “test driving” this annuity for your specific needs – at no cost and no obligation – then just simply let us know by contacting us here via our secure online contact form.
Still Have More Questions About the PruSecure Fixed Indexed Annuity? Did You Happen to Notice Any Mistakes in this Annuity Review?
We understand that this annuity review was a bit on the long side. So, we certainly want to thank you for sticking with us here to the end. However, when we are creating our reviews here at AnnuityGator.com, we would much rather “err” on providing our readers with “too much” information rather than not enough. That way, you will be in a better position to make a truly informed decision as to whether or not a particular annuity product is right for you.
In addition, we also know that annuity information can – and often does – change on a regular basis. So, if you happened to notice any details in this review that may need to be updated or revised, then please let us know that as well, and we will be happy to make any of the necessary changes here. Likewise, if reading over this review caused even more confusion about this product, then please click here in order to let us know that, too.
Are there any other annuities that you would like to see reviewed in our annuity review database on our website?
If so, just let us know the name of the product (or products), and we will get right on it.
The Annuity Gator
P.S. If you would like to read more of our Prudential annuity reviews here are some links to check out:
- Independent Review of the Prudential Premier Advisor Variable Annuity
- Independent Review of the Prudential C Series Variable Annuity
- Independent Review of the Prudential Premier Retirement B / HDI v3.0 Annuity
- Independent Review of The Prudential L Series Variable Annuity
- Independent Review of the Prudential B Series Variable Annuity
- Independent Review of the Prudential Defined Income Variable Annuity
- Independent Review of the Prudential HDLI v3.0 Income Benefit
- Independent Review of the Prudential SurePath Annuity