Secure MYGA Non-MVA 7 with ROP review

Yes, for the right buyer. If you have true seven-year money, want a guaranteed rate without MVA exposure, and value the built-in return-of-premium protection, this is a solid contract. It is less appealing if you want a shorter commitment, need income features, or are shopping primarily on rate — a competing MYGA with MVA might advertise a slightly higher rate, and you should weigh that against the structural advantage of MVA-free design.

The primary reason is rate certainty with reduced surrender risk. A no-MVA MYGA is simpler to evaluate on exit: the schedule is the schedule, full stop. The secondary reason is the ROP rider. Most MYGA buyers assume they cannot lose principal — in fact, a combination of surrender charges and MVA can push recoverable value below premium in a rising-rate environment. The ROP rider makes that floor explicit rather than theoretical. Buyers who have watched interest rates move sharply in recent years tend to appreciate both protections.

I think this annuity fits someone in or near retirement who wants a portion of their portfolio in a guaranteed-yield vehicle, is confident they will not need that money for seven years, and is specifically concerned about the interest-rate-driven penalty amplification that MVA can create. It suits both qualified and non-qualified accounts — the broad issue age range (NQ: 0-90, Q: 18-90) makes it one of the more flexible MYGAs in the category by age. It is not for someone who wants growth tied to markets, needs access to more than 10% annually, or is looking for a product shorter than seven years.

You are buying a guarantee. The carrier takes your premium, credits interest at a fixed rate for seven years, and returns the account value at maturity. No index performance, no allocation decisions, no variable outcomes — just a locked rate for a locked term. The no-MVA structure means that if you need to exit early, the only adjustment applied is the printed surrender schedule, which starts at 9% in year one and steps to zero after year seven. The ROP rider is a parallel guarantee: you will not surrender for less than you put in, regardless of when you exit during the surrender period.

The Secure MYGA Non-MVA 7 credits interest on a fixed-rate basis for seven years. F&G offers two rate tiers: a lower rate for smaller premium amounts and a higher rate (4.60% as of the brochure) for larger premium amounts. Both rates are guaranteed for the full seven-year term — there is no renewal risk during the initial period. At the end of the seven-year guarantee period, you enter a 30-day window to surrender penalty-free or roll into a new guarantee period. If you do nothing, the contract renews on the terms F&G sets at that time.

The no-MVA feature is meaningful here. Most fixed annuities — including many MYGAs — include a market value adjustment that moves in the opposite direction of interest rates. When rates rise, an MVA makes early surrender more expensive; when rates fall, it can work in your favor. F&G has removed that variable entirely on this contract, so the surrender schedule is the only cost of early exit.

The Return of Premium rider is automatically included with every policy — you do not elect it, and there is no additional charge for it. What it does is straightforward: if you surrender at any point during the surrender period, F&G guarantees you will receive no less than your original premium. That floors your downside at premium paid, not at the account value net of charges.

In practice, ROP becomes relevant when surrender charges exceed credited interest — a scenario that can happen in the early years of any fixed annuity. Knowing that floor exists makes the contract easier to evaluate with confidence, particularly for buyers who are not certain they will hold the full seven years.

The 10% free-withdrawal provision is available immediately — you do not need to wait through a first-year blackout period — and is calculated against account value. The one practical constraint is the $2,000 minimum balance requirement; partial withdrawals must leave at least that amount in the contract.

Surrenders beyond the free amount follow this schedule:

No MVA applies on top of these charges, which keeps the worst-case exit cost predictable. Three waiver provisions are available: nursing home confinement, terminal illness, and activities of daily living. These waivers can suspend or eliminate surrender charges in qualifying circumstances, which adds meaningful real-world flexibility for buyers concerned about long-term care scenarios. The contract is also RMD-friendly — a practical feature for IRA, SEP IRA, and qualified plan owners who need to take required distributions without triggering penalties.

There are no base contract fees and no rider fees — the ROP rider is automatic and no-cost. The only explicit reduction to your return is the opportunity cost of the locked rate: if market rates rise materially after you lock in, you are holding a below-market-rate contract until maturity or the penalty-free surrender window at year seven.

The structural tradeoff is the same as any MYGA: you are giving up liquidity for certainty. The no-MVA design reduces the penalty amplification risk, and the ROP rider floors your downside, but neither feature makes the surrender schedule disappear. If you need more than 10% of your account value in a given year during the surrender period, you will pay the charge.

Legal Entity: Fidelity and Guaranty Life Insurance Company

Parent: FGL Holdings

A.M. Best Rating: A

F&G is an established mid-size annuity carrier with an A (Excellent) rating from A.M. Best. The company has a focused annuity distribution model and a track record in fixed and fixed-indexed annuity products. For a locked-rate MYGA, carrier financial strength is the primary risk variable — you are relying on F&G to honor the guaranteed rate for the full seven-year term.