Why it earned this rating
Our assessment
F&G Secure MYGA MVA 7 is a straightforward locked-rate annuity with a clean feature set and a competitive rate structure. The free-withdrawal provision and chronic illness waiver are solid for the category. The MVA adds a meaningful risk layer beyond the stated surrender schedule that goes beyond what a standard MYGA buyer would face, which holds this from a stronger rating despite otherwise competitive terms.
The short version
This is a seven-year fixed annuity that locks in a guaranteed interest rate for the full contract term. The pitch is predictability: you know the rate from day one, the money grows tax-deferred, and you get 10% annual free withdrawals as a safety valve. The complication is the market value adjustment — if you need to surrender early and rates have moved unfavorably, your net proceeds can be lower than the surrender schedule alone would suggest. For someone who is genuinely parking long-term, low-touch money for seven years, this is a clean product. For anyone with uncertainty about needing the principal during the contract, the MVA makes this a harder call than a comparable MYGA without one.
Key facts
The full review
Is F&G Secure MYGA MVA 7 a Good Annuity?
Yes, for the right buyer. If the goal is a guaranteed fixed rate for seven years with predictable tax-deferred growth and no rider complexity, this product does that cleanly. The free-withdrawal provision and chronic illness waiver add practical flexibility. The key honest caveat is the MVA: this is not a standard MYGA, it is an MVA annuity, and that distinction matters if there is any chance you need to access principal above the 10% free amount during the surrender period. If you are comfortable with the MVA risk and are treating this as a true seven-year hold, the product is competitive.
Why Someone Would Buy This Annuity
The main reason to buy this product is a guaranteed multi-year rate with no market exposure and no rider fees dragging on the return. Someone who has recently retired, rolled over a 401(k) or IRA, and wants the fixed-income portion of their portfolio to earn a predictable rate for seven years without ongoing management is a natural fit. The rate banding at $100,000 also gives wealthier buyers a modest step-up in yield for larger deposits, which is a common feature in this category. The 10% free-withdrawal provision handles most RMD needs for qualified money, and the chronic illness waiver provides a backstop if health circumstances change.
Who This Annuity Is Best For
I think F&G Secure MYGA MVA 7 is best for a buyer in their late fifties to early seventies who has a clear seven-year time horizon, is working with qualified money or non-qualified savings they do not expect to touch, and wants a fixed rate that beats most CD alternatives without equity exposure. It suits someone comfortable with a commitment in exchange for yield certainty. It is less appealing for someone who might need principal access beyond the 10% free amount, someone with a shorter time horizon, or someone in New York where this product is not available.
What You're Really Buying Here
You are buying a guaranteed interest rate, locked for seven years, inside an insurance contract that defers income taxes until withdrawal. That is the whole product. There is no index participation, no upside potential beyond the stated rate, and no living benefit. What the insurance wrapper adds is tax deferral, the chronic illness protection, and the death benefit passing full account value to beneficiaries. The MVA is the defining structural feature to understand: unlike a standard MYGA where early surrender triggers only the stated schedule, this contract adjusts the surrender value based on changes in interest rates. If rates have risen since you bought, the MVA reduces your payout further. If rates have fallen, the MVA can work in your favor. For someone who holds to maturity, the MVA is irrelevant.
How the Core Feature Works
The Secure MYGA MVA 7 credits interest at a single fixed rate for the full seven-year guarantee period. The current rates in the brochure show 4.75% for premiums below $100,000 and 4.95% for premiums at $100,000 or above. These rates are locked at issue and do not fluctuate during the initial guarantee period, which means you know exactly what your account will be worth at the end of year seven. Interest compounds annually inside the contract. At the end of the seven-year period, you can surrender the full account value penalty-free, annuitize, or renew at a new declared rate for a new guarantee period. Rate quotes are snapshots and will differ from whatever rate is current when you apply.
Why the Secondary Feature Matters
The chronic illness waiver is the most meaningful secondary feature here. It covers three specific triggers: activities of daily living impairment, nursing home confinement, and terminal illness. If one of those conditions is met after issue, the waiver allows access to the account without surrender charges applying. For a product designed to hold retirement savings for seven years, this provision addresses a real concern: what happens if your health declines mid-contract? The answer is that F&G has provided a meaningful release valve. The waiver does not eliminate the MVA in all circumstances, so it is worth confirming the exact terms for your state, but for most buyers it meaningfully reduces the risk of being locked in at the wrong time.
Liquidity and Surrender Schedule
The surrender schedule starts at 9% in year one and steps down by one percentage point each year to 3% in year seven, then 0% at the end of the guarantee period. That is a fairly standard structure for a seven-year MYGA, though starting at 9% is on the higher end for year one. Beyond the schedule, the MVA — Market Value Adjustment — is the critical additional layer. If you surrender before the end of the guarantee period for an amount above the free-withdrawal threshold, the MVA adjusts your proceeds based on changes in a benchmark interest rate since issue. Rising rates mean a negative MVA on top of the surrender charge. Falling rates produce a positive MVA that partially offsets the charge. This is not a hypothetical risk: in a rising-rate environment, a buyer who needs to exit early can face materially worse economics than the schedule alone suggests.
Free withdrawals of 10% of beginning-of-year account value are available each contract year during the surrender period, with a minimum balance requirement of $2,000 remaining in the account. After the guarantee period ends, any amount can be withdrawn without penalty. The product is RMD-friendly, which matters for qualified accounts.
Fees and Tradeoffs
There are no explicit base contract fees and no rider fees on this product — income riders are not available, so there is nothing to pay for there. The cost of the fixed rate is the surrender commitment and the MVA risk. That is the trade: you get certainty on the upside (a locked rate for seven years) and take on illiquidity risk on the downside (surrender charges plus MVA if you exit early). For a buyer who is genuinely locking up seven-year money, the effective cost is low. For a buyer who overestimates their certainty about holding to maturity, the MVA adds a tail risk that does not exist in a non-MVA MYGA.
Product snapshot
| Feature | Details |
|---|---|
| Product Type | Fixed Annuity |
| Surrender Period | 7 years |
| Issue Ages | 0-90 (non-qualified), 18-90 (qualified) |
| Minimum Premium | $20,000 |
| Crediting Methods | Fixed Account |
| Free Withdrawal | 10% of beginning of year account value annually during surrender charge period; any amount after guarantee period ends |
| MGSV | 87.5% of premiums at 1-3% |
| Death Benefit | Full account value paid as lump sum; also greater of account value or minimum guaranteed surrender value |
| Income Rider | Not available |
| Premium Bonus | None |
| Availability | Not available in NY |
Carrier snapshot
Legal Entity: Fidelity & Guaranty Life Insurance Company
Parent: FGL Holdings
A.M. Best Rating: A
Final take
F&G Secure MYGA MVA 7 is a clean, no-frills locked-rate annuity for buyers who want seven years of guaranteed yield and can commit to the hold period. The rate structure is competitive for the seven-year band, the free-withdrawal provision handles most liquidity needs that come up along the way, and the chronic illness waiver is a practical risk management feature. F&G's A rating from A.M. Best is solid middle-tier carrier quality.
The product is a poor fit for anyone who has any meaningful probability of needing principal access before year seven. The MVA makes early exit more costly than a standard MYGA under the same circumstances, and year-one surrender charges of 9% are notable. If you are comparing this to a seven-year MYGA without an MVA, the key question is whether the yield difference justifies the additional interest-rate risk at surrender. For genuinely long-term, set-it-and-leave-it money, this is a reasonable option. For anything where access is uncertain, shop the non-MVA alternatives.