The Delaware Life Retirement Stages Select is a flexible premium fixed indexed deferred annuity issued by Delaware Life Insurance Company. It offers a broad menu of index crediting strategies across a 5 or 7-year surrender period – with no mandatory income rider, making it a pure accumulation vehicle you can later annuitize on your own terms.
The flexible premium design allows additional deposits after the initial purchase (minimum $500 per deposit), making it useful for clients who want to fund the annuity over time. This review covers current crediting options, surrender charges, notable product features, and an honest look at the index illustration practices used to market this product.
Delaware Life Retirement Stages Select at a Glance
| Detail | Information |
|---|---|
| Issuing Carrier | Delaware Life Insurance Company |
| AM Best Rating | A- (Excellent) |
| S&P Rating | A- (Stable) |
| Fitch Rating | A- (Strong) |
| Product Type | Flexible Premium Fixed Indexed Deferred Annuity |
| Surrender Period | 5 years or 7 years (selected at issue) |
| Minimum Initial Premium | $25,000 |
| Additional Premiums | $500 minimum; no additional deposits after age 85 |
| Maximum Premium | $1,000,000 (prior approval required above) |
| Issue Ages | 18-85 |
| Free Withdrawals | 10% of prior anniversary value per year (or RMD if greater) |
| Market Value Adjustment | Yes – applies to excess withdrawals and surrenders |
| Income Rider Available | No (annuitization options available at contract end) |
How the Retirement Stages Select Works
Like all fixed indexed annuities, the Retirement Stages Select does not invest directly in stocks or indexes. At the end of each annual crediting period, Delaware Life calculates interest based on how your chosen index performed. If the index gained, you receive a portion of that gain up to the cap or participation limit. If the index fell, you earn zero – your principal stays intact.
Credited interest locks in permanently at each anniversary and cannot be reversed by future market declines. The flexible premium design lets you make additional deposits at any time before the owner or annuitant reaches age 85.
Index Crediting Options (2026)
The Retirement Stages Select offers one of the wider index menus among mid-tier FIAs – ten strategies spanning cap-based, participation-based, performance trigger, and specialty formats.
| Index Strategy | Crediting Method | Rate Type |
|---|---|---|
| 1-Year Fixed Rate | Guaranteed fixed rate, annual crediting | Fixed – rate available at application |
| S&P 500 | 1-Year Point-to-Point with Cap | Cap rate (example: 8.0%) |
| S&P 500 | 1-Year Point-to-Point Performance Trigger | Trigger rate – earn fixed credit if index flat or positive |
| S&P 500 | 1-Year Point-to-Point with Participation Rate | Participation rate (example: 65%) |
| S&P 500 Dynamic Intraday TCA Index | 1-Year Point-to-Point with Participation Rate | Participation rate |
| Nasdaq-100 Intraday Elite 15% Index | 1-Year Point-to-Point with Participation Rate | Participation rate |
| Goldman Sachs Canopy Index | 1-Year Point-to-Point with Participation Rate | Participation rate |
| First Trust Capital Strength Barclays 10% Index | 1-Year Point-to-Point with Participation Rate & Volatility Limit | Participation rate |
| Franklin SG Select Index | 1-Year Point-to-Point with Participation Rate, Boost and Knockout | Participation rate (with boost) |
| BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index | 1-Year Point-to-Point with Participation Rate | Participation rate |
Current rates are set at issue and subject to change at each contract anniversary. Contact a licensed agent for the current rate sheet.
The Performance Trigger Strategy – What It Is
The S&P 500 Performance Trigger is worth understanding. Instead of crediting a percentage of the index gain, it pays a fixed “trigger rate” any time the S&P 500 finishes the year flat or positive – even by a single point. If the index ends down on the year, you earn zero. This strategy can outperform a cap-based approach in flat or modestly positive markets, but provides no upside participation in strong bull years.
Precision Portfolios: Pre-Allocated Multi-Index Options
For clients who prefer not to choose individual strategies, Delaware Life offers two pre-allocated portfolios:
- Precision Core – A conservative multi-index blend emphasizing stability and predictable participation
- Precision Edge – A more aggressive allocation with higher participation potential from a mix of index strategies
These portfolios automatically allocate across multiple index strategies without requiring the client to actively manage allocations. They can simplify the decision-making process, though the underlying index mix still carries the same risks and rate-renewal uncertainty as individual strategies.
Important Disclosure: Backtested-Only Indexes in Illustrations
Two of the ten available index strategies have very recent inception dates with no meaningful live performance history:
- BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index – Incepted June 30, 2025. All historical performance shown in illustrations is backtested hypothetical data.
- Nasdaq-100 Intraday Elite 15% Index – Incepted February 21, 2025. Approximately one month of live performance history as of most illustrations in use.
Both of these indexes incorporate Bitcoin or intraday trading mechanics into their methodology – elements that add complexity and make backtested results particularly unreliable as predictors of future behavior. The actual index performance post-inception may differ substantially from what backtested illustrations show.
The remaining eight index strategies use more established indexes (S&P 500, Nasdaq-100-based strategies with longer histories, Goldman Sachs Canopy, First Trust Capital Strength, Franklin SG Select) and are the more appropriate basis for setting return expectations.
Surrender Charge Schedule
Standard Schedule (7-Year, Most States)
| Contract Year | Surrender Charge |
|---|---|
| Year 1 | 8% |
| Year 2 | 7% |
| Year 3 | 6% |
| Year 4 | 5% |
| Year 5 | 4% |
| Year 6 | 0% |
| Year 7 | 0% |
| Year 8+ | 0% |
California has a different schedule with a longer glide path. A Market Value Adjustment (MVA) also applies to excess withdrawals and surrenders during the surrender charge period. The MVA is waived at death.
Bailout Provision
One useful feature of the Retirement Stages Select is the Bailout Provision. If the S&P 500 cap rate on the 1-Year Point-to-Point with Cap strategy is renewed below a stated “bailout cap rate” at any anniversary, you have the right to withdraw your full account value without surrender charges or MVA.
This provision gives clients a defined exit right if Delaware Life significantly cuts the S&P 500 cap at renewal – protecting against the risk of being locked into an unattractive rate schedule.
No-Cost Riders and Waivers
- Nursing Home Waiver – Surrender charges and MVA are waived for withdrawals after the first anniversary if you have been confined to a hospital or nursing facility for 90+ consecutive days. Available on contracts issued before age 76. Subject to state availability.
- Terminal Illness Waiver – Surrender charges and MVA are waived after the first anniversary upon a qualifying terminal illness or hospice diagnosis. Available on contracts issued before age 70. Subject to state availability.
Annuitization Options
At the end of the surrender period, the Retirement Stages Select can be annuitized into a guaranteed income stream. Available payout options include:
- Single life only
- Single life with period certain
- Joint and survivor life
Maximum annuitization age is 95. Unlike products with built-in GLWB riders, the Retirement Stages Select does not lock you into an income structure at purchase – you retain flexibility to decide at surrender whether to annuitize, take a lump sum, or roll to another product.
Who Is the Delaware Life Retirement Stages Select Best For?
This product is a strong fit for clients who:
- Want flexible premium – the ability to add deposits over time
- Prefer a wide selection of index strategies to choose from
- Value the Bailout Provision as a cap-rate floor protection
- Do not need a guaranteed income rider baked into the contract
- Are comfortable with an A- rated carrier (Delaware Life)
It is not a fit for clients who need guaranteed lifetime income built into the contract. For income-focused FIAs, compare products like the Global Atlantic ForeIncome II or the NAC BenefitSolutions 10.
Delaware Life Retirement Stages Select Pros and Cons
| Pros | Cons |
|---|---|
| Flexible premium – add deposits as low as $500 | Illustration relies partly on backtested-only indexes (Bitcoin-linked) |
| Wide index menu – 10 strategies including Performance Trigger | Market Value Adjustment applies to excess withdrawals |
| Bailout provision – exit right if cap falls below floor | No income rider – annuitization only at contract end |
| A- rated across AM Best, S&P, and Fitch | Higher $25,000 minimum premium |
| No-cost nursing home and terminal illness waivers | Delaware Life less widely distributed than top-tier carriers |
| Choice of 5 or 7-year surrender period | Precision Portfolios lack transparency on rebalancing logic |
Frequently Asked Questions
Is Delaware Life Insurance Company a reputable carrier?
Delaware Life holds an A- (Excellent) rating from AM Best and matching A- ratings from S&P and Fitch. Founded in 1971 and rebranded as Delaware Life in 2013, the company has over 50 years of operating history. It is a legitimate, regulated insurance carrier, though less widely recognized than top-tier national carriers like Lincoln or MassMutual.
What is the Performance Trigger strategy?
The S&P 500 Performance Trigger credits a fixed interest rate any time the S&P 500 ends the crediting year flat or positive – even if it only gained a fraction of a percent. If the index declines on the year, you earn zero. It’s a useful strategy in flat or modest market years, but provides no participation in strong bull markets.
Can I take income from the Retirement Stages Select before annuitization?
You can take up to 10% of your prior anniversary value per year as a free withdrawal without surrender charges or MVA. If you are subject to Required Minimum Distributions (RMDs), the full RMD amount is always available free of charge, even if it exceeds 10%. This makes it IRA-compatible without penalty risk from RMD obligations.
What is the Bailout Provision?
If Delaware Life renews the S&P 500 cap rate below the stated “bailout cap rate” at any contract anniversary, you may withdraw your full account value without surrender charges or MVA. This is a meaningful protection against the risk of being locked in at a very low rate if the carrier reduces caps significantly at renewal.
Are the Bitcoin-linked index options safe?
Your principal is always protected from market losses – you can never lose money due to index declines, regardless of which index you choose. The risk with newly created indexes like the BlackRock Bitcoin index is not principal loss – it is that illustration-based expectations may not match actual future performance. These indexes have no real track record, and their high hypothetical returns in backtests may not repeat in live market conditions.
Product features, rates, and availability vary by state. Not available in New York. Contact a licensed agent for current rates and state-specific terms. Annuities are insurance products, not bank deposits, and are not guaranteed by any federal agency. Delaware Life Insurance Company is the issuing entity.
