Understanding Bonus Annuities—Are They Right for You?
A bonus annuity provides an upfront boost—typically a percentage of your initial premium added to the account on day one. While the idea of a 10%, 15%, or even 20% bonus sounds appealing, it’s important to understand what you’re trading off in exchange for the benefit.
What is a Bonus Annuity?
It’s a type of fixed indexed annuity that adds an immediate percentage bonus to your starting balance. These bonuses may enhance your income rider, increase death benefit values, or give you more accumulation power.
When They Work Best:
-
You’re planning to hold the annuity for the full term
-
You’re interested in guaranteed lifetime income
-
You understand and are comfortable with the longer surrender periods and potential rider costs
Common Mistakes to Avoid:
-
Choosing a bonus annuity only because of the upfront number
-
Not understanding how the bonus applies (benefit base vs account value)
-
Overlooking fees or liquidity restrictions
At Diversified Insurance Brokers, we walk you through every bonus annuity option, explaining how it fits into your broader financial strategy—not just how big the bonus looks.
Ensure you are receiving the absolute top rates
Current Fixed Annuity Rates
Compare today’s best fixed annuity rates from top carriers.
Current Bonus Annuity Rates
See which annuities offer the highest upfront bonus today.
Request an Annuity Quote
Submit our annuity request form to get personalized rate options.
Lifetime Income Calculator
Use our calculator to see how much guaranteed income your annuity can provide.
Contact Us Today:
Want to learn if a bonus annuity makes sense for your financial future?
📞 Call us at 770-662-8510
📅 Schedule a free consultation with Jarad
💬 Or visit our Contact Page
