Metlife opens deferred-income annuity sale

MetLife will now distribute its retail-deferred income annuity through MetLife Investors, the carrier’s independent distribution arm, the insurance firm announced today. The Longevity Income Guarantee is a form of longevity insurance that allows investors to purchase the annuity now and receive income at a set point in the future. Third party distributors will now have access to the product. LIG comes in two versions, Flexible Access and Maximum Income. Flexible Access provides a death benefit equal to the purchase payments compounded at a 3% annual rate to beneficiaries if the owner dies before he begins receiving the income. Clients can start receiving income after a two year waiting period, provided they’re between the ages of 50 and 85. Also, the income start date is not locked on the issue date. Maximum Income, on the other hand, doesn’t offer a flexible start date and does not provide a death benefit or liquidity. Though the New York-based carrier has had LIG on its shelves since 2004, the product was known as the Personal Income Builder until today when its name was changed.