Does Their Annuity Have These Options?

Some existing Non-Qualified Annuities do not have a Post-Death 1035 Option that allows for 1035 Exchanges upon the death of the annuitant or a Stretch Option allowing a beneficiary to stretch distributions beyond five years.

 
Why does this matter?
Without these options, beneficiaries are forced to take the money in a lump sum or over five years. This includes having to pay all of the required taxes in the distribution year(s). 

If you have these Non-Qualified Annuities in your current book of business, approach those clients to consider moving their money to an annuity that does have the Post-Death 1035 and/or Stretch Options. 

You don't want to start a relationship with heirs by having to tell them that their only option is to take the money and pay the tax. Wouldn’t it be better to tell them they also have the option of rolling it over or stretching it out?