Frequently Asked Questions

DPL provides proprietary tools and the support of our team of licensed consultants to make it easy to evaluate clients' existing annuity policies. Using our Annuity Comparison Calculator, you can quickly compare a client's annuity to commission-free options to determine if it makes sense to exchange the policy for a no-load annuity that may be able to achieve client goals more efficiently.

No. A 1035 exchange can be used to move from a variable annuity into any other type of annuity. Your DPL Consultant can work with you to find the product that best fits with the needs of your client’s financial plan.

Clients often can save thousands of dollars in product fees when it makes sense to move from a commissioned insurance product to a low-cost, commission-free product. In addition to providing potentially improved financial outcomes to your clients, offering insurance solutions as part of a holistic financial planning process enables you to expand services, potentially attract new clients, and increase AUM.

The core premise of annuity rescue is to reduce product cost when possible. DPL takes that premise further by looking to not only reduce cost, but also meet other needs in the financial plan. Clients often want low-cost, guaranteed income, tax efficient withdrawal strategies and/or principal protection, and DPL can provide these solutions. And, DPL's suite of Product Discovery Tools makes it easy to evaluate and compare clients' existing annuities to determine the solution that best meets the needs of each client. 

Yes, once assets are invested into a single premium immediate annuity (SPIA), they have been annuitized with the insurance carrier and turned into an income stream. For clients who fear “losing” to the insurance carrier, utilizing a "period certain" feature can ensure heirs receive assets in the event the client passes away earlier than expected.

Most advisors think of single premium immediate annuities (SPIAs) when they think about lifetime income, but other types of annuities also can be used. Fixed Index, Variable and Deferred Income annuities can all provide guaranteed lifetime income. Based on client objectives, your DPL Consultant can help you find the right product type to meet their needs.

Lifetime income that is contractually guaranteed is important to clients for many reasons, both financial and psychological. Lifetime income guarantees through annuities often can fund retirement income needs more efficiently than fixed income, while helping mitigate sequence of return risk and longevity risk. Guaranteed income also provides psychological benefits to clients by providing income for essential expenses in retirement that is protected from the ups and downs of the market.

The principal protection aspect of fixed index annuities (FIAs) make these products a strong choice for clients nearing or in retirement to help mitigate sequence of returns risk. FIAs also can have strong payout options that often increase when clients delay taking income payouts. DPL and leading retirement researchers recommend advisors consider an allocation to FIAs as part of a client’s fixed income portfolio as they near retirement.

While income payout rates are typically lower in VAs than other products, variable annuities provide the most potential upside. For clients with longer investment horizons, the value of tax deferral can help accumulation, potentially providing a larger balance to drive the income payments when income features are elected.