Knighthead Life Staysail 5
Current Fixed Rates
| 5.63% | $100,000 | — | $2,000,000 |
| 5.43% | $10,000 | — | $99,999 |
The Knighthead Life Staysail 5 is a single premium, fixed annuity with a five-year rate guarantee. After five years, owners can withdraw, transfer, or reinvest their entire account balance. If no action is taken, a one-year fixed rate is declared with no surrender charges. The contract does not renew for a new term.
This is a simple-interest annuity (currently 6.30%) with an equivalent 5.63% compounding rate, as reflected below, based on a $100K deposit. Qualified and non-qualified funds are accepted. Required Minimum Distributions are not subject to surrender penalties. There are no surrender charges at death.
Two rate bands are available. The highest rate is for deposits above $100K, while a lower rate applies to amounts between $10K and $99.9K. A ten percent free withdrawal is available for both rate bands. Adding the 10% withdrawal rider lowers the annual simple interest rate by 0.40%, also lowering the compounding equivalent rate accordingly.
Compounding equivalent interest rates are .10% lower in California due to state regulations.
More Annuity options from: Knighthead Life
Notable Features
A 10% free withdrawal rider is available at an annual cost that reduces the yearly interest rate. At no cost, this policy includes Nursing Home, Terminal Illness, and Annuitization free withdrawal waivers.
Additional Details
Product Type
MYGA (Multi-Year Guaranteed Annuity)
Term
5 Years
Free Withdrawals Yr1 / Yr2+
N/A
Surrender Schedule
8.50%, 8%, 7%, 6%, 5%, 0%
Maximum Age
85
Minimum Investment
$100,000
Maximum Investment
$2,000,000 without prior approval
What We Like About This Annuity
This is a simple interest annuity that is RMD-friendly for IRA accounts. At maturity, the contract does not automatically renew. This policy offers competitive simple interest rates for growth, but is especially attractive for those who want a systematic monthly income. There are no surrender charges at death.
Other Popular Products
Knighthead Life offers both Multi-Year Guaranteed Annuity (MYGA) accounts and fixed-indexed annuities (FIAs). Their newest annuity products are the Chartline and Chartline bonus accounts. They are popular based on their guaranteed cap rates and competitive premium bonuses.
About Knighthead Life
Knighthead Life
AM Best Rating: A- Excellent (4th of 13 ratings)
https://www.knightheadlife.com/
About Knighthead Life Insurance Company
Underwritten by Merit Life Insurance Company, Knighthead Life is an A- rated carrier specializing in fixed annuity accounts. They are a sister company of Knighthead International based in the Cayman Islands and operating globally. Their home office in the US is based in Charlotte, NC.
They prioritize exceptional service with a core mission of delivering innovative retirement solutions. Their products are designed with simplicity and transparency in mind to provide stable and secure investments.