Pacific Life’s Single Premium Group Annuity Contract provides employers, plan sponsors and consultants with a product to efficiently transfer accrued financial liability for annuity payments to Pacific Life.
Key features of the Pacific Life Single Premium Group Annuity (SPGA):
- A group annuity contract purchased to provide monthly annuity benefit payments for both immediate annuitants (those retirees who are currently being paid a retirement benefit) and for deferred annuitants (those plan participants who are not yet eligible for retirement benefits).
- A non-participating contract, meaning that Pacific Life bears the investment risk, as well as, mortality and expense risks.
- A contract that provides for a one-time, single premium payment by the plan to Pacific Life to cover all annuity payments and related expenses.
- Under this contract, Pacific Life will assume financial liability and administrative responsibility for assuring that annuity benefit payments are made.