GUARANTEED INTEREST OPTION Clause Samples
The Guaranteed Interest Option clause establishes a provision within a financial or insurance contract that allows the policyholder or account owner to allocate funds to an account or sub-account that earns a fixed, predetermined interest rate for a specified period. Typically, this option is available in products like annuities or life insurance policies, where the guaranteed rate is set by the provider and is not affected by market fluctuations. The core practical function of this clause is to provide the contract holder with a secure, predictable return on a portion of their investment, thereby reducing exposure to market risk and offering financial stability.
GUARANTEED INTEREST OPTION. The Guaranteed Interest Option is part of our General Account. The amount in the Guaranteed Interest Option at any time is equal to: . All amounts that have been allocated or transferred to the Guaranteed Interest Option plus . the amount of any interest credited, less . all amounts that have been withdrawn (including charges) or transferred from such Option. We will credit the amounts in the Guaranteed Interest Option with interest at effective rates that we set periodically (the “Crediting Rate”). The initial Crediting Rate will remain in effect for the entire first Contract Year and is shown in your Data Pages. For each subsequent Contract Year, the Crediting Rate will be redetermined. This new Crediting Rate will remain in effect throughout the Contract Year. The Crediting Rate will not be less than the minimum benefits required by the NAIC Standard Nonforfeiture Law for Individual Deferred Annuities, model #805, using the nonforfeiture interest rate consistent with the minimum nonforfeiture interest rate prescribed in the law of the state in which the policy is delivered or issued for delivery. Interest will be credited to the amounts held in the Guaranteed Interest Option daily. The initial nonforfeiture rate and the minimum nonforfeiture rate are shown in the Data Pages.
GUARANTEED INTEREST OPTION. Any amount held in the Guaranteed Interest Option becomes part of the assets in our general account, which supports the guarantees of this Contract and other contracts. The amount the Guaranteed Interest Option at any time is equal to: • all amounts that have been allocated or transferred to the Guaranteed Interest Option, plus • the amount of any interest credited, less • all amounts that have been withdrawn (including charges) or transferred from such Option. We will credit the amount held in the Guaranteed Interest Option with interest at effective rates that we set periodically. We will set an annual guaranteed interest rate that will remain in effect for a stated twelve-month period or a calendar year. We will also set a minimum guaranteed interest rate that will be effective for the duration of the Contract. The Data Pages show the initial rate(s) that apply. We guarantee that any rate so set after your Contract Date will never be less than the lifetime minimum guaranteed interest rate shown in the Data Pages.
GUARANTEED INTEREST OPTION. (Contract Section 2.02) Minimum Guaranteed Interest Rate: Not less than 1% and not more than 3%.
GUARANTEED INTEREST OPTION. Any amount held in the Guaranteed Interest Option becomes part of AXA Equitable’s general assets, which support the guarantees of this Contract as well as other policies and contracts that AXA Equitable offers. The amount in the Guaranteed Interest Option at any time with respect to the Plan is equal to the sum of: • all amounts that have been allocated or transferred to the Guaranteed Interest Option, plus • the amount of any interest credited, less • all amounts that have been withdrawn (including charges) or transferred from the Guaranteed Interest Option. AXA Equitable will credit the amount held in the Guaranteed Interest Option with interest at effective rates that AXA Equitable sets periodically. AXA Equitable will also set a Minimum Guaranteed Rate. A rate of [1.00%] applies as the Minimum Guaranteed Rate under the Contract as described in the Section “Minimum Guaranteed Rate”. AXA Equitable reserves the right to increase or decrease such minimum rate at any time, subject to applicable state laws. However, the changed Minimum Guaranteed Rate will only apply to Contributions and allocations to and transfers to the Guaranteed Interest Option, as described in the Sections “Contributions, Allocations” and “Transfer Requests” respectively, made on or after the date such change is effective. The Application will describe the initial Rate(s) to apply for a stated period or periods starting with the Contract Date.
GUARANTEED INTEREST OPTION. Any amount allocated to the Guaranteed Interest Option becomes part of our general assets that support the guarantees of this Contract and other contracts. The amount in the Guaranteed Interest Option at any time is equal to the sum of all amounts that have been allocated to the Guaranteed Interest Option pursuant to Section 2.04 plus the amount of any interest accrued but not allocated, less the sum of all amounts that have been withdrawn from the Guaranteed Interest Option pursuant to Sections 2.07, 2.08, 2.10 or 2.11 or transferred from the Guaranteed Interest Option pursuant to Section 2.05. We will credit the amount in the Guaranteed Interest Option with interest at effective annual rates that we determine. For each Class of Contracts we determine a yearly guaranteed interest rate that will remain in effect throughout the next year. We guarantee that this yearly guaranteed interest rate will never be less than 3%. Participation in the Guaranteed Interest Option under the terms of this Contract terminates on the earliest of (i) Election and Commencement of Annuity Benefits pursuant to Section 3.03, (ii) receipt of due proof of the Annuitant's death or (iii) Termination of this Contract pursuant to Section 2.06.
GUARANTEED INTEREST OPTION. Any amount held in the Guaranteed Interest Option becomes part of our general account assets, which support the guarantees of the Contract and other policies and contracts that we offer. The amount in the Guaranteed Interest Option at any time is equal to: o all amounts that have been allocated or transferred to the Guaranteed Interest Option, plus o the amount of any interest credited, less o all amounts that have been withdrawn (including any applicable charges) or transferred from the Guaranteed Interest Option. We will credit the amount held in the Guaranteed Interest Option with interest at effective annual rates that we set. We will also set an annual minimum Guaranteed Interest Rate that will remain in effect throughout a stated twelve-month period or a calendar year. We credit interest daily to amounts in the Guaranteed Interest Option. We will also set a minimum Guaranteed Interest Rate that will be effective for the duration of the Contract. We guarantee that any rate so determined will never be less than the minimum Guaranteed Interest Rate specified in the Data Pages.
GUARANTEED INTEREST OPTION. Conditions is added to Article II