Nationwide Promise Select Immediate Income Annuity
Product Details
- Minimum Premium: $10,000
- Maximum Premium: $2,000,000 (single) / $3,000,000 (Joint)
- Ownership Options: Individual person or entity; Joint ownership cannot include a non-person entity
- Issuance Rules: No minimum age; annuitants must be age 95 or younger
- Product Fees: No applicable fees; Payout rates vary based on age, gender and rates in effect at contract issuance
Pros
- Nationwide offers a top payout on their income annuity, making it one of the most competitive offers
- The cost of living adjustment (COLA) feature can go up to 5%, one of the highest inflation hedges available
- High maximums make this income annuity great for retirees who have a lot of available funds earmarked for guaranteed income
Cons
- Only one optional rider is available (inflation protection)
- No installment refund option
About the Nationwide Promise Select Income Annuity
The Nationwide Promise Select is a single premium immediate annuity meant to offer retirees a reliable stream of income for life. Various income payout options are available, making this customizable for different income needs. Period certain contracts are available out to 30 years.
The inflation protection rider allows payouts to increase by 1%, 2%, 3%, 4% or 5% annually. This option to choose up to 5% is one of the highest cost-of-living adjustments available on an income annuity. Initial payouts start lower and will grow over time. This option must be selected at the inception of the contract.
The liquidity feature allows owners of certain contracts to receive lump sum withdrawals in the event of an emergency. Limited to period certain and cash-refund contracts only, this feature lets owners withdraw money in exchange for reduced payments for the remainder of the guaranteed term period. Lifetime payments are not affected after the guarantee period has ended.
Certain states prohibit some features of the Nationwide income annuity. New York State does not allow the liquidity feature to be included in the contract. Learn more about our choices for Best Annuities.
Overwhelmed by Safe Retirement Options?
Our Take on the Nationwide Promise Select Income Annuity
The Nationwide Promise Select is a top choice for retirees who are looking for a straightforward income annuity with competitive payouts, cost-of-living adjustment features and available liquidity options. Nationwide is a stable and well-capitalized company with high credit ratings from the rating agencies. Investors can be confident in Nationwide’s ability to be a competent steward of their savings.
The Promise Select annuity product’s high maximum contribution limits make it a good choice for retirees looking for a high level of guaranteed income. While most competitors place tentative limits at $1M or $1.5M, Nationwide allows $3M for joint annuitants before approval is needed. The ability to hedge inflation up to 5% or access the annuity’s principal makes this a flexible income option for various retirement planning situations.
About Nationwide
In business for over 90 years, Nationwide has weathered significant market and industry turbulence and remains a quality company with broad business interests in insurance, annuities and other investment products. Nationwide boasts nearly $300 billion in assets, making it one of the largest financial companies in the US.
Financial Stability
Nationwide maintains very good ratings from rating agencies, although they are not rated by Fitch. Nationwide has rebuilt its financial standing since taking a hit during the 2008 financial crisis.
| Rating Company | Credit Rating | Highest Rating Possible |
| AM Best | A+ | A++ |
| Moody’s | A1 | Aaa |
| Fitch | Not Rated | AAA |
| Standard & Poor’s | A+ | AAA |
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