The short version
What you give up for that protection is upside and access: the credit on any given strategy is limited by a cap, participation rate, or spread, and the money is under a surrender charge for 10 years.
Its 1 Year S&P 500 Annual Point-to-Point with Cap & 20% Max account caps at 10.70% — one of 7 crediting accounts on the contract. The full menu, with every account's own cap, participation rate, or spread, is in the table below.
How this contract works
A fixed indexed annuity works by measuring an index's return over a set period and applying a crediting formula to decide how much of it you keep. A cap sets a ceiling on the credit; a participation rate credits a percentage of the index's gain; a spread subtracts a fixed amount before crediting the rest. None of it is direct market ownership, and none of these formulas can produce a negative credit — the worst a crediting period can do is pay zero. The guarantee behind all of it is a contractual obligation of American National Insurance Company, backed by the company's own reserves, not by the FDIC and not by any bank.
The contract also carries a declared fixed account paying 4.00%, for premium you would rather not tie to an index at all. Money can typically be moved between the fixed account and the index strategies at each contract anniversary; check the carrier's disclosure for the exact transfer window.
The carrier's brochure states these premium bonus terms: "1%" We are quoting that language rather than summarizing it, because a bonus like this can be conditioned on electing a separate optional rider, restricted to a premium band or a state, or otherwise not automatic — read the condition in the text itself rather than assuming this contract gets it by default. Where a bonus does apply, it commonly comes with its own vesting schedule or a clawback on early surrender as well. Per the carrier's brochure as of July 23, 2026; confirm current terms in your own illustration.
Getting your money out
The contract allows 10% out each year without a surrender charge. Beyond that allowance, a withdrawal during the surrender period is reduced by the charge for that contract year — on top of whatever the index accounts did or didn't earn.
The surrender charge starts at 10% in year 1 and steps down to 1% in year 10; some states or issue ages carry a different schedule, and each one is in the table below. Those percentages come off the amount you withdraw, which is why an early exit can return less than you put in even in a year the index accounts credited something.
This contract also carries a market value adjustment. On top of the surrender charge, an early withdrawal is adjusted up or down depending on how interest rates have moved since the contract was issued — if rates have risen, the adjustment works against you. It applies only to withdrawals above the free amount during the surrender period.
This contract files more than one surrender schedule. The one that applies depends on the state where the contract is issued and, where shown, your age at issue.
Fees and tradeoffs
The Lifetime Income Rider with Fixed Rate (GLWB) carries a charge of 1.10% annually (limited to interest), and it is optional — declining it removes both the benefit and the charge. That charge buys the rider's benefit; it does not raise the credit on any index account.
The real tradeoffs on a contract like this are the crediting caps and the surrender period, not a visible fee line. Gains come out as ordinary income rather than capital gains, and a withdrawal before age 59½ generally carries a 10% IRS penalty on top of the tax. Neither is a reason to avoid the product; both are reasons it suits money you have already decided not to touch.
Who this fits
This contract fits someone who wants a floor under retirement money and is willing to trade full market upside for it, and who can leave the premium alone for 10 years. It is not a substitute for direct market investing — the caps and participation limits mean a strong market year is only partly captured.
It does not fit an emergency fund, money that may be needed for a medical or housing event, or a buyer who expects to capture a bull market in full. Anyone under 59½ should weigh the tax penalty before treating this as a savings account.
The carrier
Every guarantee in this contract is only as good as American National Insurance Company, which currently holds an A.M. Best financial strength rating of A. An annuity is not FDIC insured; the backstop is the carrier's own balance sheet, with state guaranty association coverage behind it at limits that vary by state.
The contract is filed in 1 state.
- Death Benefit
- Greater of Account Value plus appreciation-to-date or Cash Surrender Value
- Minimum Guaranteed Surrender Value
- 87.5% of premiums at 1-3%, varies by state
- RMD Treatment
- RMD-friendly: surrender charges waived on IRS required minimum distributions.
- Withdrawal Provisions
- Optional GLWB riders (Lifetime Income Rider X or XII, elected at issue): issue ages 0-80, income cannot commence before age 50, 1-year waiting period to exercise, spousal continuation available, no benefit-base-specific bonus beyond the base contract's 1% premium bonus (which does feed the initial Benefit Base calculation). Payout percentages range from 3.00-3.50% at age 50 (joint/single) up to 7.00-7.50% at age 90, increasing 0.10% per contract year between the listed age bands. This is a flexible-premium annuity (FPDA) — additional premiums are accepted, $1,000 minimum subsequent premium or $100/month EFT — unlike the single-premium Rate Certainty Annuity and Smart Start Accumulator products in this carrier's lineup. Surrender charge/MVA waivers available for confinement, disability, and terminal illness (restrictions apply, not available in all states).
- Waiver Riders
- Confinement Waiver
Frequently asked questions
What cap does the American National Strategy Indexed Annuity Plus 10 pay right now?
Its 1 Year S&P 500 Annual Point-to-Point with Cap & 20% Max account currently caps at 10.70%. That is a snapshot of the current rate sheet, not a permanent number — carriers reprice these accounts regularly, usually once a year on the contract anniversary. The full menu of accounts, each with its own terms, is in the table on this page.
How does a fixed indexed annuity actually credit interest?
The insurer measures a market index's return over a set period and applies a formula — a cap, a participation rate, or a spread — to decide how much of that return you're credited. A negative index period credits zero, never a loss. You are never invested in the index itself.
Is my money locked up for 10 years?
Not locked, but charged. You can take money out at any time; withdrawals above the free allowance during the 10 years surrender period are reduced by the surrender charge for that year, plus a market value adjustment.
What happens at the end of the surrender period?
Contracts generally give you a short window to surrender without a charge, or you can leave the money in and keep crediting on whatever accounts are then offered. Renewal cap and participation rates are not known in advance and are usually not the ones you started with — check the carrier's disclosure for the exact window.
Is this FDIC insured?
No. Annuities are issued by insurance companies and are not guaranteed by any bank or by the FDIC. The guarantee is American National Insurance Company's contractual obligation, backed by its reserves, with state guaranty association coverage behind it at limits that vary by state.
What happens if I die before the surrender period ends?
Greater of Account Value plus appreciation-to-date or Cash Surrender Value This is stated in the carrier's brochure as of October 16, 2026; confirm it against the contract you are actually issued.
