Company Information
Company Name
Knighthead Life
Product Name
Knighthead Life Staysail 5
Description
The 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 (6.55% currently) with an equivalent 5.83% compounding rate 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 rider can be added, lowering the annual simple interest rate by 0.20% which also lowers the compounding equivalent rate.
AM Best Rating
A- Excellent (4th of 13 ratings)
Company Website
Product Type
MYGA (Multi-Year Guaranteed Annuity)
Free Withdrawals Yr1 / Yr2+
N/A
Rate
| 5.83% | $100,000 | — | $2,000,000 |
| 5.63% | $10,000 | — | $99,999 |
Term
5 Years
Minimum Investment
$100,000
Maximum Investment
$2,000,000 without prior approval
Maximum Age
85
Surrender Schedule
8.50%, 8%, 7%, 6%, 5%, 0%
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. Competitive rates for growth and income oriented consumers. No surrender charges at death.
Notable Features
A 10% free withdrawal rider is available at an annual cost of 0.20% simple interest. At no cost, this policy includes Nursing Home, Terminal Illness, and Annuitization waivers.
Other Popular Products
At this time, Knighthead Life is strictly a Multi-Year Guaranteed Annuity (MYGA) company.
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About Knighthead Life
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.