North American Charter Plus 10 Annuity Review (2026): Rates, Pros & Cons

Bottom line up front: The North American Charter Plus 10 is a credible 10-year accumulation fixed index annuity from a top-tier carrier (AM Best A+, Comdex 89). The current 23% premium bonus is real money, and the index lineup is one of the deepest we review, with a 130% participation rate on Morgan Stanley Dynamic Global and a 70% participation rate on Barclays Transitions 6 VC. The product is held back by below-market capped strategies and the complete absence of an income rider. Our rating: 4.25 out of 5.

Product Snapshot

What This Product Actually Is

Charter Plus 10 is North American’s mid-length accumulation FIA. The carrier is using a 10-year surrender to do three things at once: pay a 23% upfront bonus, license a deep bench of named-sponsor indices (S&P Dow Jones, Morgan Stanley, Fidelity, Goldman Sachs, Barclays), and load the chassis with sixteen distinct index crediting strategies plus a 3.00% fixed account.

The 4% bonus “special” stacks on top of the 10% base bonus and the 9% Enhanced Bonus Rider to produce the current 23% headline in most states (22% in California). North American can discontinue the 4% special at any time without notice, so the 23% bonus is not a permanent product feature, it is current pricing.

This is not an income product. There is no Guaranteed Lifetime Withdrawal Benefit rider available on Charter Plus 10. Buyers who want a contractually guaranteed paycheck at age 65 or 70 should look at North American’s Income Pay Pro 10 instead. Income from Charter Plus 10 is available only through annuitization or systematic withdrawals.

Inside the Sammons Financial lineup, Charter Plus 10 sits between the older NAC VersaChoice 10 (no bonus, lower charge structure) and the IncomePay family for income-rider buyers. The sweet-spot Charter Plus 10 buyer is someone parking $75,000 to $2,000,000 for ten years, comfortable forgoing income guarantees in exchange for the 23% bonus and uncapped participation rates on volatility-controlled indices.

Index Options and Crediting Methods: The Real Story

Charter Plus 10 offers sixteen index crediting strategies across seven indices and two reset frequencies, plus a 3.00% fixed account. The full current rate sheet (high band, state variation, with EBR, as of May 2026) is the table that actually matters. Annualized credited rates shown below are based on running each index through its most recent 10 calendar years at current rates.

One-Year Reset Strategies

Two-Year Reset Strategies

Fixed Account: 3.00% (current) / 0.25% (guaranteed minimum).

What the rate sheet actually tells us

The Morgan Stanley Dynamic Global Enhanced Participation strategy is the highest-illustrated option on the contract. At 130% participation on a one-year reset with a 0.95% strategy fee, it back-tests at 6.22% annualized. The two-year version at 180% participation back-tests at 7.52% but pays the 0.95% fee twice per term (1.90% drag every two years). This is the carrier’s premium crediting strategy and it is genuinely competitive for a 10-year FIA with a 23% bonus on the front end.

The Barclays Transitions 6 VC at 70% one-year participation is the no-fee standout. A 5.13% annualized back-test with no strategy charge means the only drag is the 0.95% EBR rider fee. The two-year version at 120% participation back-tests at 7.00% with no strategy fee, which is the cleanest high-return strategy on the menu.

The Barclays Transitions 12 VC at 35% one-year (5.44%) and 55% two-year (7.09%) is the volatility-tolerant play. Higher-volatility version of the same index family, lower participation, slightly higher illustrated return because the index itself has more room to move.

The capped strategies are weak. The 5.75% S&P 500 cap (4.57% back-test) and the 1.25% monthly-sum S&P 500 cap (2.28% back-test) are both below market for a 10-year FIA. The monthly-sum cap is particularly punishing in volatile years because negative months count in full while positive months are clipped at 1.25%. We would not allocate to either capped strategy on this product when the participation-rate alternatives are this much better.

The straight S&P 500 participation rate at 20% one-year / 25% two-year is a poor option (3.28% and 3.47% back-test). The S&P 500 is uncapped at those participation rates, but 20% participation on a 25% S&P year is a 5% credit. Skip it.

The Goldman Sachs Equity TimeX participation rate strategies are the weakest on the menu (3.09% one-year, 4.74% two-year). The Goldman index itself includes a 0.50% per-annum deduction inside the index calculation, which compounds with the low participation rate to produce uncompetitive illustrated returns.

The Fidelity Multifactor strategies split sharply. The Enhanced Par version at 120% one-year and 180% two-year (both with 0.95% strategy fee) is reasonable. The straight participation version at 80% one-year and 110% two-year illustrates poorly at 3.16% and 3.91%. Pay the strategy fee or stay out of this index.

The S&P MARC 5% ER is mid-pack, with 80% one-year participation (4.33%) and 110% two-year (5.13%). Not a standout, not a dud.

Proprietary index reliance

Charter Plus 10 leans on five volatility-controlled excess-return indices: Barclays 6 VC, Barclays 12 VC, S&P MARC 5% ER, Fidelity Multifactor 5% ER, and Morgan Stanley Dynamic Global. All five are rules-based, target a defined volatility level, and are administered by named institutional sponsors. None is a single-carrier opaque index. The Goldman Sachs Equity TimeX and the Morgan Stanley Dynamic Global both deduct 0.50% per annum inside the index, which is normal for excess-return indices but does compress credits relative to a price-return version of the same exposure. This level of proprietary-index reliance is industry-standard for the category. Not a red flag, but worth understanding before allocating.

Suggested allocation framework

For an accumulation-focused buyer choosing among Charter Plus 10’s strategies, the best risk-adjusted construction in current rates looks something like:

• 40% to Morgan Stanley Dynamic Global Enhanced Par (one-year or two-year)
• 35% to Barclays Transitions 6 VC Par (one-year or two-year)
• 25% to Barclays Transitions 12 VC Par (one-year or two-year)

Annual reset gives more frequent lock-in. Two-year reset offers higher participation rates but doubles single-period reset risk. We default to annual reset unless the buyer has a strong view that the next two years will be calmly upward (which is exactly when no one can predict it). The 30% allocation to the 5.75% S&P 500 cap that the carrier illustration uses by default (and that produced the 5.07% blended return) is the weakest of three available strategies. Reallocating that 30% into the Morgan Stanley Enhanced Par strategy would meaningfully improve the illustrated return.

Hypothetical Performance: Reading the Illustration Honestly

The 14-page carrier illustration we reviewed for a 60-year-old male in Ohio with $100,000 in a traditional IRA produces a 5.07% annualized rate of return over 36 years using current rates, with a 35/35/30 split across Barclays Transitions 12, Barclays Transitions 6, and S&P 500 cap. That number is net of the 0.95% EBR rider charge.

A few things to understand about that 5.07%:

It uses the actual 2016 to 2025 index sequence for the first 10 years, then repeats. Years 1 through 10 reflect what each index actually did across the most recent decade run through current rates. Years 11 through 36 are that same 10-year sequence on loop. That is a generous decade. A 2000 to 2009 sequence would produce a materially lower outcome.

It reflects a sub-optimal allocation. The 30% allocation to the 5.75% S&P 500 cap dragged the blended rate down. A buyer who allocated 40% to the Morgan Stanley Enhanced Par (6.22% back-test), 35% to Barclays Transitions 6 (5.13%), and 25% to Barclays Transitions 12 (5.44%) would have illustrated closer to 5.55% to 5.75% annualized.

It includes the 0.95% rider charge throughout the surrender period. Years 1 through 10 in the illustration show rider charges of roughly $1,100 to $1,800 per year, totaling about $13,400 over the 10-year surrender period on this $100,000 contract.

Compared to a 5-year MYGA ladder: Top-tier 5-year MYGA rates from comparably rated carriers are quoting 5.20% to 5.60% as of May 2026. Two consecutive 5-year MYGAs at 5.40% would compound to about $173,000 from $100,000 over a decade. The Charter Plus 10 illustration ends year 10 at $183,451 accumulation value ($179,500 cash surrender value, which is what matters if liquidating). That is roughly $7,000 better than the MYGA ladder, net of rider drag, with the upside that Charter Plus 10 could outperform meaningfully in a strong index decade and the downside that it could underperform in a flat or volatile decade. The bonus and the 70% participation rate on the Barclays 6 VC are doing the heavy lifting; the rider charge is the offset.

The S&P 500 comparison chart in the illustration is honest. The illustrated S&P 500 ends 2025 at roughly $302,000 versus the Charter Plus 10 accumulation value of $167,000 at the same point. FIAs do not compete with the S&P 500 in a strong decade. They compete with the S&P 500 in a 2000 to 2010 decade or a 2007 to 2009 drawdown, where the FIA’s downside floor protects principal while the S&P loses 50% peak-to-trough. The honest framing: Charter Plus 10 is a fixed-income alternative, not an equity alternative.

Income Rider: Not Available on This Product

Charter Plus 10 does not offer a Guaranteed Lifetime Withdrawal Benefit rider. Income from this contract is available only by:

• Annuitizing the accumulation value (after year 1 for Life Income, after year 5 for fixed-period payouts, by current company practice)
• Taking systematic withdrawals from the accumulation value (10% free per year after year 1; no charges after year 10)

Buyers who want a contractual benefit base growing at a guaranteed roll-up rate, with defined lifetime payout percentages by age, should look elsewhere. North American’s own Income Pay Pro 10, plus competing income products from F&G, Athene, and Allianz, offer GLWB riders on 10-year FIA chassis that compete directly with Charter Plus 10 on accumulation while adding income guarantees. If income is the goal, this is the wrong product on this carrier’s shelf.

Surrender Schedule and Liquidity Analysis

The state-variation schedule that applies in 20 states is materially softer than the brochure’s headline schedule: 9 / 8.5 / 7.5 / 6.5 / 5.5 / 4.5 / 3.5 / 3 / 2 / 1 percent versus the most-states 10 / 10 / 9 / 9 / 8 / 8 / 7 / 6 / 4 / 2 percent.

If a buyer is in Ohio, Texas, Pennsylvania, Virginia, Washington, New Jersey, Nevada, Oklahoma, Indiana, Minnesota, Missouri, Hawaii, Delaware, Connecticut, Alaska, South Carolina, Utah, or Idaho, they get the softer schedule. California gets the softest schedule of all (8% first year, declining to 0.44% in year 10). Most other states get the harsher schedule.

The bonus recapture is the real liquidity story, not the surrender charge. In most states, recapture starts at 100% in year 1 and declines 10 percentage points per year. In state-variation states, recapture starts at 90% and declines as 90 / 85 / 80 / 70 / 60 / 50 / 40 / 30 / 20 / 10 percent. A full surrender in year 5 of a state-variation contract triggers 60% recapture of the 23% bonus, plus a 5.5% surrender charge, plus potential MVA. On a $100,000 contract with 23% bonus, that is roughly $13,800 of bonus recapture, $5,500 surrender charge, and a potential MVA on top.

The bonus is paid in full at death. No recapture on death of the annuitant. That makes Charter Plus 10 a reasonable estate-planning vehicle for a buyer whose primary objective is leaving the accumulation value to heirs.

Nursing home waiver: Up to 100% of accumulation value, with no surrender charge, no bonus recapture, and no MVA. Available after year 1, not in Massachusetts. This is one of the cleaner nursing home waivers we see on a bonus FIA.

RMD-friendly: Yes, by current company practice. RMDs above the 10% free amount are penalty-free.

Free withdrawal: 10% of accumulation value per year, starting year 2. Calculated on the full accumulation value (which includes the bonus), so the dollar amount grows as the contract earns interest. The 0.95% rider charge counts as a penalty-free withdrawal but does not reduce the buyer’s available 10%.

GMCSV floor: 87.5% of premium accumulated at 2.4% annually. In a worst-case zero-interest, full-rider-charge scenario, the guaranteed minimum cash surrender value still grows at 2.4% per year off an $87,500 base. That is a meaningful contractual floor.

Premium Bonus: Worth It or Marketing Gimmick?

Charter Plus 10 sits at the top of our best bonus annuity rates tracker thanks to the current 23% headline. The 23% bonus is real money. On $100,000 of high-band premium it adds $23,000 to the accumulation value at issue, immediately. That $23,000 earns interest in the chosen index strategies, sits on the death benefit with no recapture, and converts to cash surrender value as the recapture schedule rolls off year by year.

The trade-offs are documented and material:

1. The 0.95% EBR rider charge on the accumulation value is the price of admission. Over 10 years on a $100,000 contract, that totals roughly $11,000 to $14,000 depending on accumulation value growth.
2. Bonus FIAs in this category typically offer lower caps and lower participation rates than no-bonus FIAs. Charter Plus 10’s 5.75% S&P 500 cap is a clear example.
3. Bonus recapture punishes early exits. Holding to year 11 captures the full bonus; surrendering in years 3 through 7 generally costs more than the bonus is worth.

The bonus math works best for buyers who allocate to the Morgan Stanley Enhanced Par or Barclays Transitions 6 VC strategies (6.22% and 5.13% back-test respectively) and hold to or beyond year 10. It works worst for buyers who default to the 5.75% S&P 500 cap.

The 4% bonus special is genuinely a limited-time pricing feature. North American reserves the right to discontinue it without notice. Buyers who like the 23% headline should not assume it will be available in 90 days.

What We Like

• 130% participation rate on Morgan Stanley Dynamic Global with Enhanced Par. Among the more aggressive uncapped participation rates we see on a 10-year FIA in current rates, even net of the 0.95% strategy fee. Back-tests at 6.22% annualized.
• 70% participation on Barclays Transitions 6 VC with no strategy fee. A clean uncapped option with a 5.13% illustrated rate on a low-volatility index.
• Sixteen index crediting strategies plus a 3.00% fixed account. Genuine allocation choice. Most competing 10-year FIAs offer six to ten strategies.
• 23% premium bonus that is not recaptured at death and survives the 10-year holding period.
• State-variation surrender schedule (9% first year, dropping to 1% by year 10) applies in 20 states, including Ohio, Texas, Pennsylvania, Virginia, Washington, and California (which gets the softest schedule of all).
• AM Best A+, Fitch A+, S&P A+, Comdex 89. Sammons Financial is employee-owned with a 140-year track record and a conservative balance sheet.
• AV true-up refunds any net negative interest credited versus strategy charges over the surrender period. A real, contractual backstop that few competitors offer.
• Nursing home waiver with no bonus recapture, no surrender charge, no MVA, up to 100% of accumulation value after year 1.
• Roth conversions are supported on contracts issued after February 1, 2024.

What Gives Us Pause

• No income rider. Cannot solve for guaranteed lifetime income. Wrong product for income-focused buyers.
• 5.75% S&P 500 cap and 1.25% monthly-sum cap are below market. Buyers who want straight S&P 500 exposure can do better elsewhere. The cap strategies on Charter Plus 10 should be skipped in favor of the participation-rate strategies.
• S&P 500 participation rate at 20% one-year and 25% two-year is uncompetitive. Avoid.
• Goldman Sachs Equity TimeX participation rates (35% one-year, 65% two-year) illustrate poorly. The 0.50% internal index deduction compounds with low participation to produce 3.09% and 4.74% back-test rates.
• 0.95% EBR rider charge runs $11,000 to $14,000 over 10 years on a $100,000 contract. The buyer is paying for the 9% portion of the bonus and access to the Enhanced Par strategies.
• Bonus recapture is harsh in early years, particularly under the most-states schedule (100% in year 1).
• No return-of-premium feature. The GMCSV floor at 87.5% accumulated at 2.4% is the contractual minimum.
• The 4% bonus special is discretionary and can be discontinued by the carrier without notice.

Who Charter Plus 10 Is Best For

Best for: A 55- to 70-year-old buyer with $75,000 to $2,000,000 of qualified or non-qualified money they will not need for at least ten years, who wants principal protection plus participation in volatility-controlled index returns, who values the 23% bonus for accumulation and death-benefit reasons, and who allocates primarily to the Morgan Stanley Enhanced Par and Barclays Transitions 6 VC strategies. Ideal if the buyer lives in one of the 20 state-variation states with the softer surrender and recapture schedules. See our Best Fixed Index Annuities for the Accumulation Phase for direct comparisons.

Not ideal for: Buyers who need a contractual lifetime income guarantee (no GLWB available). Buyers who might need liquidity beyond the 10% free withdrawal in years 2 through 8 (bonus recapture punishes early exits). Buyers under $75,000 of premium (low band has reduced bonus and rates). Buyers who would default to the capped S&P 500 strategies (better options exist on competitor products without a rider charge).

How Charter Plus 10 Compares

Among 10-year bonus FIAs from top-tier carriers, Charter Plus 10’s closest competitors are Athene Agility 10, Allianz 222, Nationwide New Heights 10, and F&G Power Accumulator. Each offers a different mix of bonus, surrender length, index lineup, and income rider availability. Our Top 10 Best Fixed Index Annuity Companies guide provides a side-by-side framework for evaluating these against Charter Plus 10. The short version: Charter Plus 10 wins on index depth and the Morgan Stanley Enhanced Par participation rate; it loses to several competitors on S&P 500 cap, and it loses to every income-rider product on guaranteed lifetime income.

Bottom Line Verdict

Charter Plus 10 is a credible, well-priced 10-year accumulation FIA from a top-tier carrier. The 23% bonus is the headline, but the substance is the index lineup: a 130% participation rate on Morgan Stanley Dynamic Global with Enhanced Par, a 70% participation rate on Barclays Transitions 6 VC, and a 3.00% fixed account give buyers genuine allocation choice. The capped S&P 500 strategies are weak and should be ignored; the participation-rate strategies on the volatility-controlled indices are where the value lives.

We would recommend Charter Plus 10 for accumulation-focused, ten-year-horizon money, particularly in state-variation states (OH, TX, PA, VA, WA, CA, and 14 others) where the surrender schedule and bonus recapture are softer. We would not recommend it for income planning, short-horizon money, or buyers who default to the S&P 500 cap.

Our rating: 4.25 out of 5. Strong index menu (especially the Morgan Stanley Enhanced Par and Barclays Transitions 6 VC), strong carrier, real 23% bonus, and a meaningful state-variation surrender schedule. Held back by the absence of any income rider and the below-market capped strategies that exist on the menu but should not be used.

Frequently Asked Questions

What is the current participation rate on the North American Charter Plus 10?

The current top participation rate is 130% on the Morgan Stanley Dynamic Global Enhanced Par one-year strategy (with a 0.95% strategy fee), followed by 70% on the Barclays Transitions 6 VC one-year strategy with no strategy fee. Two-year reset versions of both strategies offer 180% and 120% participation, respectively. Current rates apply to the high premium band ($75,000+) with the Enhanced Bonus Rider elected.

Does the Charter Plus 10 have a lifetime income rider?

No. Charter Plus 10 does not offer a Guaranteed Lifetime Withdrawal Benefit (GLWB) rider. Income from this contract is available only through annuitization or systematic withdrawals from the accumulation value. Buyers who want guaranteed lifetime income should consider North American’s Income Pay Pro 10 or a competing income-rider FIA.

How much is the premium bonus on Charter Plus 10 in 2026?

Up to 23% in most states ($75,000+ premium band, with the Enhanced Bonus Rider elected). California offers up to 22%. The bonus is composed of a 10% base bonus, a 4% limited-time bonus special, and a 9% Enhanced Bonus Rider credit. The 4% special is a discretionary pricing feature that North American can discontinue at any time without notice.

Is the premium bonus recaptured if the annuitant dies?

No. The full bonus is paid as part of the death benefit with no recapture. The bonus is also not recaptured on penalty-free withdrawals, on Required Minimum Distributions, or under the nursing home confinement waiver.

What is the minimum premium for Charter Plus 10?

$75,000 for the high band, which offers the higher bonus and participation rates shown in this review. $20,000 is the absolute minimum for the low band, which offers a reduced base bonus (7% instead of 10%) and reduced participation rates.

Sources and Further Reading

• North American Company for Life and Health Insurance (official carrier site)
• Sammons Financial Group (parent company)
• AM Best (insurance company financial strength ratings)
• S&P Global Ratings
• Complete Fixed Index Annuity Guide (2026)
• North American Company Annuity Review
• Best Fixed Annuity (MYGA) Rates
• Top 10 Best Fixed Index Annuity Companies (2026)