Group Affiliation: Sammons Enterprises Group
Address: 525 W. Van Buren
Chicago IL 60607
Total Admitted Assets & Liabilities:
Total Surplus & AVR: $1,786,251
Surplus as Percent of General Account Assets: 6.1%
North American Company Profile
North American Company for Life and Health Insurance offers term and permanent life insurance and annuities, including:
- fixed index annuities (FIAs)
- traditional fixed annuities
- multi-year guarantee annuities (MYGAs)
- single premium immediate annuities (SPIAs)
The company was founded in 1886 and has stood strong to help protect those who counted on the company for financial security, even though two World Wars, the Great Depression, and multiple recessions.
In 1996, North American was acquired by Sammons Financial Group.
Unlike many other financial services companies, North American is not publicly traded—meaning the company is not subject to short-term earnings pressures that are often faced by its publicly traded peers. The company maintains strong industry ratings that are a direct result of the efforts of its dedicated employee-owners and long-term growth strategy.
Address: 4350 Westown Parkway, West Des Moines, IA 50266
North American Company Ratings
North American Company is rated A+ by AM Best, A+ by Standard & Poor’s, A+ by Fitch, B by Weiss and has an 89 Comdex Score.
|A.M. Best Company (Best's Ratings, 15 Ratings)||A+ (2)|
|Superior. Assigned to companies that have, in our opinion, a superior ability to meet their ongoing obligations to policyholders.|
|Standard & Poor's (Financial Strength, 20 Ratings)||A+ (5)|
|An insurer rated 'A' has STRONG financial security characteristics, but is somewhat |
more likely to be affected by adverse business conditions than are insurers with higher
|Fitch Ratings (Financial Strength, 21 Ratings)||A+ (5)|
|Strong. 'A' IFS ratings denote a low expectation of ceased or interrupted payments. They indicate strong capacity to meet policyholder and contract obligations. This capacity may, nonetheless, be more vulnerable to changes in circumstances or in economic conditions than is the case for higher ratings.|
|Weiss (Safety Rating, 16 Ratings)||B (5)|
|Good. The company offers good financial security and has the resources to deal with a variety of adverse economic conditions. It comfortably exceeds the minimum levels for all of our rating criteria, and is likely to remain healthy for the near future. However, in the event of a severe recession or major financial crisis, we feel that this assessment should be reviewed to make sure that the firm is still maintaining adequate financial strength.|
|Ranking (Percentile in Rated Companies)||89|
|The Comdex gives the average percentile ranking of this company in relation to all other companies that have been rated by the rating services. The Comdex Ranking is the percentage of companies that are rated lower than this company.|
North American Company Annuity Products:
North American offers both fixed and fixed index annuities. While fixed annuities are very straightforward, fixed index annuities can vary and be quite complicated. We recommend reading The Ultimate Beginners Guide to Fixed Index Annuities before considering or shopping for indexed annuities. It may also help to be familiar with the pros and cons of fixed index annuities.
- Guarantee Choice 3 Year
- Guarantee Choice 5Year
- Guarantee Choice 7 Year
- Guarantee Choice 10 Year
The North American Guarantee Choice is a deferred multi-year guarantee annuity issued by North American Co for Life & Health Ins.
This annuity is a premium banded product, meaning there are higher interest rates available for larger purchase premiums.
The interest rate you earn will vary depending on the amount of premium you deposit.
During the time in which the annuity is subject to surrender penalties, there are policy provisions that allow partial access on a penalty free basis. Beginning with the first contract year, and each year thereafter, this annuity provides interest only (noncumulative) as the penalty free withdrawal amount.
This annuity also waives withdrawal penalties upon death. Your named beneficiary(ies) will receive a death benefit equal to the full accumulation value. A beneficiary may choose to receive their death benefit in either a lump sum or select an available annuitization option.
Initial Surrender Charge and MVA Periods
Early Surrender Charges: 5 years
Market Value Adjustment (MVA): 5 years
Penalty Free Full Withdrawal Window Available After: 5 years
State variations may exist, refer to product disclosure for details.
Min Premium Non-Qualified: $10,000
Min Premium Qualified: $2,000
Max Premium Non-Qualified: $1,000,000
Max Premium Qualified: $1,000,000
Max Issue Age Non-Qualified: 90
Max Issue Age Qualified: 90
Rate Lock on Transfers: 45 days
Subject to MVA: Yes
Death Benefit: Accumulation Value
Income Rider Available: No
Penalty Free Withdrawal Provisions
First Year Withdrawals: Interest Only
Years 2+ Withdrawals: Interest Only
Cumulative Withdrawals: No
RMD Friendly: Yes
Penalty Waivers: Annuitization, Death and Nursing Home
See product brochure, disclosure and riders for additional details, limitations and availability. State variations, age restrictions and holding periods may apply.
Not available in: MT and NY (as of 04/02/2019)
- NAC Benefit Solutions 10
- North American Charter Plus 10
- North American Charter Plus 14
- Strategic Design Annuity X
- NAC VersaChoice 10 with ELB
- Performance Choice 8
Featured Index Annuity: VersaChoice 10 - Read our comprehensive independent Review of NAC Versa Choice 10 Index Annuity.
A fixed index annuity designed to be a long-term retirement savings vehicle. A fixed index annuity is a type of fixed annuity that provides principal protection, meaning your account value will never decrease due to market performance.
Unlike a traditional fixed annuity, it does not guarantee a specified rate of return. Instead, the interest you earn on an annual basis is tied to the performance of an external stock market index.
When purchasing this annuity it is important to note that you are making a 10 year commitment. During the 10 year contract period the owner is able to take an annual withdrawal of up to 10% of the previous years account value.
The Versa Choice 10 does not come with any fees attached “out of the box”.
There is one optional benefit rider that can be purchased for an annual fee of 60 basis points which is calculated using the account value.
Example using account value of $100,000: $100,000 X .60% = $600 annual fee.
The optional enhanced liquidity benefit (ELB) rider provides you with the following additional liquidity features:
- Enhanced penalty-free withdrawals: Beginning in the second year, up to 20% of the beginning-of-year accumulation value penalty-free if no withdrawals, other than rider charges and any strategy charges, were taken in the prior year.
- Return of premium: Any time after the third contract year, the client may terminate the contract and receive no less than the contract’s net premium paid. Net premium is equal to initial and subsequent premiums minus any withdrawal amounts, excluding the rider cost and any strategy charges, after any surrender charges or market value adjustment.
- ADL-based surrender charge waiver 5 : If client is unable to complete two of the six activities of daily living (ADLs) after the issue date and otherwise qualifies, it’s possible to get up to 100% of accumulation value immediately with no surrender charges.
- ADL-based payout benefit 5 : After the second contract anniversary, if a client is unable to complete two of the six ADLs and otherwise qualifies, they may choose to draw an income over five years that is based on an enhanced accumulation value amount (percentage varies by contract year, see chart). This accumulation value multiplier increases the longer money is kept in the annuity, maxing out after six years. See the brochure and disclosure for ADL definitions.
Annuities are distributed by My Annuity Store, Inc. Guarantees are subject to the claims-paying ability of the insurer. My Annuity Store, Inc. does not advise clients on the purchase of non-fixed annuity products. The information presented here is not of tax or legal nature and is not intended to be a recommendation to purchase a fixed annuity, fixed index annuity, variable annuity contract, registered index linked annuity (RILA), immediate annuity (SPIA), longevity annuity, or Qualified Longevity Annuity Contract (QLAC).
The contract features described may not be current and may not apply in the state in which you reside. Annuities are issued by Insurance companies and contracts are ‘state-specific’. Insurance companies also change their products and information often and without notice. Annuities are subject to the terms and conditions of the specific contract issued by the insurer, are not FDIC or NCUA insured, are not bank guaranteed, may lose value, and are not a deposit. Please call (855) 583-1104 if you have any questions or concerns.
The information presented here is not a representation regarding the suitability of any concept or product(s) for an individual and it does not provide tax, accounting or legal advice. It is important to read the prospectus carefully and consider your objectives, risks, fees and charges associated with the contract. You should always consult your own financial planning, tax, and legal counsel to determine if a fixed annuity, immediate annuity, longevity annuity, or Qualified Longevity Annuity Contract are suitable in your financial situation.