Why it earned this rating
Our assessment
Guarantee Pro 5-Year is a clean, no-frills MYGA from a carrier with one of the stronger financial strength ratings in the industry. The fixed rate structure is transparent, the MGSV is a solid 87.5% of premium, and the nursing home confinement waiver adds a meaningful safety valve. What keeps it from a top-tier rating is that the free-withdrawal provision is narrower than some competing MYGAs — interest-only access rather than a percentage of account value — and the MVA adds an additional layer of uncertainty if market conditions shift unfavorably at the time of a penalty withdrawal.
The short version
This is a 5-year guaranteed-rate annuity for people who want a CD-like commitment with the tax deferral and slightly cleaner institutional-quality terms that come with an insurance contract. Midland National's A+ rating from A.M. Best is the headline. The rates as of early 2026 — 4.85% for premiums under $100,000 and 5.10% for premiums of $100,000 or more — are locked in for the full five years, which removes reinvestment risk for the surrender period. If you are parking retirement savings you will not need to touch for five years, this is a competitive option. If you need regular access to principal, it is not.
Key facts
The full review
Is Midland National Guarantee Pro 5-Year a Good Annuity?
Yes, for the right buyer. If you have $20,000 or more that you do not expect to need for five years and you want a guaranteed, predictable rate from a highly rated carrier, this is a genuinely good product. The rate structure is transparent, the terms are clean, and there is no hidden fee layer. It is a poor fit if you want index-linked upside, a built-in income feature, or more flexible access to principal.
Why Someone Would Buy This Annuity
The main reason to buy Guarantee Pro 5-Year is certainty. You know exactly what rate you will earn for five years, and you know Midland National has been paying claims long enough to hold an A+ rating from A.M. Best. For someone rolling over a CD or a maturing bond who wants to defer taxes on the growth and is comfortable with a 5-year commitment, the arithmetic is simple and the credit quality is high. A secondary reason is the rate-band structure: bumping over $100,000 gets you 25 basis points more — a meaningful difference over five years.
Who This Annuity Is Best For
I think this contract is best for someone in their 50s or 60s who has money earmarked for retirement that will not be needed before the contract matures. Qualified or non-qualified money both work here — the tax deferral matters most for non-qualified accounts where CD interest would otherwise be taxable each year. It is less well-suited for someone who might need principal access, someone who wants market participation, or someone who is mainly shopping for lifetime income guarantees.
What You're Really Buying Here
You are buying a contractual promise from Midland National to credit a fixed rate to your account for five years. There are no indices, no crediting strategies, and no rider mechanics to evaluate. The product's value proposition is entirely about the rate level, the carrier's financial strength, and the terms of the surrender schedule. That is a very different evaluation exercise from an FIA or a VA — the primary questions are whether the rate is competitive relative to other 5-year MYGAs and CDs, and whether you trust the carrier to still be here in five years. On both counts, Midland National is a reasonable answer.
How the Core Feature Works
The crediting method is a fixed interest rate guaranteed for the full five-year surrender period. Midland National quotes two rate tiers based on premium size: a standard rate for premiums below $100,000 and a higher rate for premiums of $100,000 or more. As of the April 2026 rate sheet, those figures were 4.85% and 5.10% respectively. Interest compounds annually and is tax-deferred until withdrawal. There are no caps, spreads, or participation rates to track — what you see on the rate sheet is what your account will earn each year through the surrender period.
Why the Secondary Feature Matters
The nursing home confinement waiver is the most meaningful secondary feature on this contract. If you are confined to a qualified nursing home for at least 90 consecutive days after the first contract year, Midland National will waive surrender charges and MVA on withdrawals for that purpose. That is a real protection for a product designed around five-year illiquidity. It does not solve every liquidity problem, but it addresses one of the most common scenarios where a retiree might urgently need access to funds outside the normal free-withdrawal window.
Liquidity and Surrender Schedule
This contract has meaningful restrictions on principal access during the five-year window, and you should take them seriously before committing. Free withdrawals are limited to interest earned in the prior contract year — not a percentage of total account value. Starting in year 2, you can pull out what you earned the previous year without penalty. By current company practice (though not contractually guaranteed), year 1 interest is also available. Systematic withdrawals of at least $50 per payment are available to deliver that interest as income.
Withdrawals beyond the interest earned are subject to surrender charges and an MVA — a Market Value Adjustment that ties your effective exit cost to interest rate movements at the time of withdrawal. The MVA can work for or against you depending on where rates are when you surrender. The schedule is front-loaded at 8% in years one and two, stepping down to 5% by year five.
| Contract Year | Surrender Charge |
|---|---|
| 1 | 8% |
| 2 | 8% |
| 3 | 7% |
| 4 | 6% |
| 5 | 5% |
| 6 | 0% |
Required minimum distributions are available without triggering surrender charges or MVA, which matters for qualified accounts. The nursing home waiver and the terminal illness waiver (where available by state) also provide penalty-free access in qualifying circumstances.
Fees and Tradeoffs
There are no explicit product fees on this contract — no base contract charge, no rider fee, and no spread eating into your credited rate. The rate you see is the rate you earn. That is one of the cleaner aspects of the MYGA structure.
The real costs are structural. The surrender charges and MVA are the price of the locked rate. Unlike a CD at a bank, the MVA adds a variable element to your exit cost that is tied to prevailing interest rates — if rates have risen sharply since you purchased, surrendering early will cost more than the stated schedule alone suggests. This is not a hidden fee, but it is a risk that buyers sometimes overlook when comparing MYGAs to bank alternatives.
Product snapshot
| Feature | Details |
|---|---|
| Product Type | Fixed Annuity |
| Surrender Period | 5 years |
| Issue Ages | 0-90 |
| Minimum Premium | $20,000 |
| Crediting Methods | Fixed rate |
| Free Withdrawal | Interest earned in prior contract year, beginning year 2. By current company practice, interest earned in year 1 also available penalty-free. Systematic withdrawal option available ($50 minimum per payment). |
| MGSV | 87.5% of premiums at 1% minimum rate |
| Death Benefit | Greater of full account value or minimum guaranteed surrender value |
| Income Rider | Optional |
| Premium Bonus | None |
| Availability | Variations approved in CA, FL, SD. Seven-year option not available in CA and FL. Not approved in NY. |
Carrier snapshot
Legal Entity: Midland National Life Insurance Company
Parent: Sammons Financial Group
A.M. Best Rating: A+
Final take
Guarantee Pro 5-Year is a well-constructed MYGA from a carrier with strong financial strength ratings. The rate tiers are competitive, the terms are clean, and there are no hidden fees. For someone who has five-year money and wants a simple, predictable accumulation vehicle, this is a solid choice.
The product is not for everyone. The interest-only free-withdrawal provision means your principal is essentially locked up for five years outside of the qualifying waivers. The MVA adds exit-cost uncertainty if rates have moved. And there is no upside participation or income rider for buyers who want those features. If you are comparison shopping MYGAs specifically, this one deserves a place on the short list. If you are not sure whether a 5-year MYGA is the right structure at all, that question is worth answering before evaluating individual products.