Best 4 Year Annuity Rate
Jason Stolz CLTC, CRPC
Looking for the best 4-year annuity rate? You’re in the right place. A 4-year fixed annuity (MYGA) can deliver a stronger guaranteed yield than ultra-short terms while keeping your commitment comfortably under five years. At Diversified Insurance Brokers, we compare products from 75+ top-rated carriers to help you lock in competitive guarantees—without sales pressure or hidden fees.
A 4-year fixed annuity guarantees a set interest rate for 48 months, provides principal protection, and credits tax-deferred growth. At maturity, you can renew, roll to a different term, or withdraw funds—so you maintain flexibility as rates and goals evolve.
What Is a 4-Year Fixed Annuity?
A 4-year MYGA is a contract with an insurance company that credits a guaranteed fixed rate for four consecutive contract years. Interest compounds tax-deferred until you take distributions. At maturity, most contracts let you renew at current rates, transfer to another annuity, or take a full penalty-free withdrawal during the window provided in your contract.
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Compare today’s top fixed annuity offers and see which 4-year carriers fit your timeline and goals best.
Who Should Consider a 4-Year Annuity?
The 4-year term often appeals to savers who want a higher guaranteed rate than 1–3 year terms with less lock-up than 5–10 years. Consider a 4-year MYGA if you are:
- Laddering across 2–3–4–5 years to keep annual liquidity and reinvestment opportunities.
- Rolling over maturing CDs and seeking a stronger multi-year guarantee.
- Targeting a known time horizon (e.g., retirement date, home project, tuition window).
- Conservative by nature—prioritizing principal protection and predictable growth over market risk.
Safety matters: We recommend carriers rated A- or better by independent rating agencies. Fixed annuities are supported by the insurer’s general account and state guaranty associations up to statutory limits.
Benefits of a 4-Year MYGA
- Higher Potential Yield vs. 1–3 Years: Longer commitment is typically rewarded with better guaranteed rates.
- Tax-Deferred Growth: Interest compounds without annual taxation until withdrawal.
- Principal Protection: Contract value grows at the guaranteed rate—no market downside.
- Built-In Liquidity: Many contracts allow up to 10% penalty-free each year (verify your policy).
- Flexible Maturity Options: Renew, change terms, or take a full distribution at the end of year four.
Why 4-Year Rates Move
Carrier rates track bond yields, portfolio positioning, and competitive dynamics. Because those inputs change, the “best 4-year annuity rate” can shift quickly. Our team monitors 75+ carriers so you can capture favorable windows—small differences (0.15%–0.25%) can add meaningful value over four years.
How to Compare 4-Year Annuity Options
- Financial Strength: Favor A- or better ratings for long-term reliability.
- Liquidity Provisions: Confirm penalty-free amounts (often 10%) and any interest-only access.
- Renewal Rules: Know your election window; some contracts auto-renew if no action is taken.
- Minimums & Issue Ages: Typical minimums $10,000–$25,000; age limits vary by carrier.
- MVA (Market Value Adjustment): Understand how an MVA can affect early withdrawals during the term. See our Market Value Adjustment Explained guide.
Using a 4-Year “Anchor” in a Ladder
Laddering spreads purchases across terms so something matures each year. A 4-year rung can anchor the middle-to-upper part of your ladder—balancing yield with still-reasonable access. On maturity, roll to a new 4-year if rates are attractive, extend to 5 years, or shorten if you’ll need cash sooner.
4-Year MYGAs vs. CDs & Money Markets
- Tax Treatment: Annuity growth is tax-deferred; CD interest is taxed annually.
- Yield: Insurers can often credit higher fixed rates than banks due to different investment models.
- Flexibility at Maturity: Renew, withdraw, or pivot to an income or indexed annuity based on goals.
- Risk Profile: No market volatility—your rate is contractual and guaranteed for four years.
Many retirement savers pair a 4-year MYGA with shorter and longer terms—using the 4-year for dependable mid-horizon growth while keeping other funds liquid or positioned for higher multi-year yields.
Next Step: Compare Current Fixed Annuity Rates
See live 4-year MYGA offerings and carrier specifics on our Fixed Annuity Rate Page. Rate windows can be brief—review options now and decide with confidence.
Get Current Annuity Rate Comparisons
See side-by-side 4-year MYGA rates, liquidity features, and financial-strength scores.
Related Topics to Explore
- Best Short-Term MYGA Annuities
- Tax-Deferred Annuity Strategies
- Annuity Surrender Charges Explained
- Guaranteed Lifetime Withdrawal Benefits Explained
- Annuity Rollover Options for Teachers
Compare Annuity Rates by Term
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Frequently Asked Questions
What is the best 4-year annuity rate right now?
Rates vary by carrier and change often. See our fixed annuity rate page for the latest 4-year offers.
Do 4-year MYGAs pay more than 1–3 year terms?
Typically yes—the longer commitment is often rewarded with a higher guaranteed rate.
Can I access funds during the 4-year term?
Many contracts allow up to 10% penalty-free per year. Check your policy’s liquidity provisions.
What happens at maturity?
You can renew, roll to another term, or take a full withdrawal during the contract’s election window.
Are 4-year fixed annuities safe?
They’re backed by the insurer’s financial strength and supported by state guaranty associations up to statutory limits.
About the Author:
Jason Stolz, CLTC, CRPC, is a senior insurance and retirement professional with more than two decades of real-world experience helping individuals, families, and business owners protect their income, assets, and long-term financial stability. As a long-time partner of the nationally licensed independent agency Diversified Insurance Brokers, Jason provides trusted guidance across multiple specialties—including fixed and indexed annuities, long-term care planning, personal and business disability insurance, life insurance solutions, and short-term health coverage. Diversified Insurance Brokers maintains active contracts with over 100 highly rated insurance carriers, ensuring clients have access to a broad and competitive marketplace.
His practical, education-first approach has earned recognition in publications such as VoyageATL, highlighting his commitment to financial clarity and client-focused planning. Drawing on deep product knowledge and years of hands-on field experience, Jason helps clients evaluate carriers, compare strategies, and build retirement and protection plans that are both secure and cost-efficient.
