Frequently Asked Questions

We clarify your doubts about annuities.

Any other questions?

The financial decisions you make today will determine the lifestyle you will experience in the future.

Investment products, particularly annuities, are excellent tools for planning a successful and prosperous retirement.

An annuity is a contract between you and an insurance company, which is designed to grow and protect your money without risk of loss at the end of the chosen term and offer a guaranteed income stream for a specified period or for life.

  • Fixed Annuity – your investment grows based on guaranteed interest for a specified term.
  • Indexed Annuity – offer an interest rate tied to the performance of stock market indices and potential to increase earnings based on index growth, and with market downside protection.
  • Contribution deferral – Earnings earned are not taxable until such time as withdrawals or distributions are taken.
  • Death Benefits – contributions are generally protected against risk in the event of death.
  • Available as an Individual Retirement Annuity

    • Contributions may be deductible from the income tax return, up to a maximum established by law. *
    • Allows transfers from other IRAs or pension plans. *
  • Partial Withdrawals – You can withdraw up to 10% of the premium paid annually with no early withdrawal or market value adjustment fees. Subject to a maximum of 50% in 7 and 10 year annuities.
  • Total distribution – you must wait for the expiration of the contract, depending on the term selected. If they cancel before the due date, they are subject to a penalty and adjustment to the market value, whether positive or negative.
  • Guaranteed income benefit for life – endorsement to ensure guaranteed income for life. You must be 57 years of age to purchase and activate the endorsement.
  • The IRA or individual retirement annuity is designed to stimulate savings in the taxpayer and to establish a fund for his retirement.
  • Contributions may be deductible from the income tax return and earnings are not taxed until withdrawals from the account or contract begin.
  • If a withdrawal is made from the IRA before the age of 60, it could be subject to a penalty from the Department of the Treasury of 10% of the amount of the withdrawal.
  • Anyone who receives income from salary, professional services, or self-employment includes anyone who participates in another eligible retirement plan.
  • Any person who has not reached the age of 75.
  • Resident of Puerto Rico.
  • You can make annual contributions of up to $5,000 or 100% of income generated, whichever is less.
  • Up to $10,000 can be contributed if the return is filed jointly by married couple (a separate account must be established for each spouse).
  • The contribution limit also applies to the Roth IRA (IRA is not deductible and generates interest or exempt earnings).
  • After reaching 60 years of age.
  • If the taxpayer has not reached 60 years of age, there is a penalty from the Department of the Treasury of 10% of the amount of the withdrawal, except if the taxpayer makes a withdrawal for the following reasons:
    • Inability
    • Job losses
    • Paying for children’s college education
    • Purchase of the first residence
    • Repairs of damage to the primary residence caused by hurricane, earthquake, fire or other acts of God
    • Computer purchase (limitations apply)
    • Terminal disease


  • Maximum contribution of $5,000 per taxpayer
  • The tax advantage is at the moment
  • Earnings increase by postponing contributions
  • Those taxpayers who have a higher tax rate benefit more

Non-deductible (Roth):

  • Maximum contribution of $5,000
  • The tax advantage is at the time of retirement
  • Withdrawals are exempt from contributions including the principal
  • Yes, it is allowed to transfer funds from an IRA to another qualified plan in P.R. or to another IRA Rollover account or direct transfer
  • Ex. 401K, 1165e, pension plans, Keogh
  • To consolidate IRAs

We know that not all accidents are the same

That’s why we offer you a variety of policies that you can customize to fit your needs. That’s why we offer you a variety of policies that you can customize to fit your needs.