The HarborMaster Flex annuity is designed to give your clients the maximum flexibility in benefit planning options. Unlike the standard HarborMaster annuity, the HarborMaster Flex can be used for a equal monthly payment or a small monthly payment coupled with a large balloon payment.
The most common use for the HarborMaster Flex is when a client desires to convert assets into income, but does not want the income stream to be too high. This is often done when trying to stay in compliance with IVAP rules for the VA Improved Pension benefit and dealing with tax-qualified funds.
All balloon annuities have a one-time option to be converted into an equal payment annuity if the owner desires to make the policy irrevocable. Additionally, the beneficiary of the contract can be changed at any time up until the owner chooses to make it an irrevocable designation, which can be helpful at the time the policy needs to become fully compliant with the DRA Medicaid requirements.