Platinum Edge 8-Year review

It depends on your priorities. It is a good annuity for someone with a genuine 8-year hold horizon who wants a locked rate, no fees, and no complexity. It is less appealing for someone who wants meaningful liquidity protection during the contract — the MVA on even the free-withdrawal amount means your accessible cash fluctuates with market interest rates, not just your account balance. The 0.00% MGSV is also unusual; most MYGAs guarantee at least 87.5% of premium at a minimum interest rate.

The core reason is rate certainty. In an environment where interest rates could move lower, locking in a known rate for eight years removes reinvestment risk. The very low $2,000 minimum makes this accessible well below what most MYGA competitors require. The Nationwide A+ carrier rating adds confidence for buyers focused on long-term financial strength. And the nursing home and terminal illness waivers give some practical safety valves without adding a rider fee.

I think this product is best for a buyer who is at or near retirement, is placing a portion of conservative savings in a multi-year rate lock, and already has liquid assets elsewhere for emergencies. A qualified account like an IRA is a natural fit given the RMD accommodation — RMD amounts are not subject to surrender charges, though the MVA still applies to them. This is less attractive for someone who may need the money before year eight, who wants the downside protection of a high MGSV floor, or who is not currently working with a registered investment representative.

You are buying a contract that pays a fixed, guaranteed interest rate for eight years with no variability tied to an index and no rider complexity. In exchange for that certainty, you commit your principal for the full contract period with surrender charges on excess withdrawals and an MVA that moves in response to interest rate changes in the broader market. The practical value proposition is simple: guaranteed rate, no annual fee, strong carrier, long lockup.

One thing worth understanding about this product: the Platinum Edge is registered with the SEC as a security, which means it can only be sold through a licensed insurance agent who also holds a securities registration. That is not common for a plain fixed annuity, and it means your distribution options are narrower than with a typical MYGA.

Platinum Edge 8-Year credits interest at a single fixed rate guaranteed for the entire 8-year period — 4.05% as of the November 2025 rate sheet. There are no indices, no participation rates, and no annual resets with variable outcomes. The rate is declared at issue and holds for the full guarantee period.

The product also includes a Transition Account — a completely liquid, separately maintained account that earns a variable fixed rate set monthly by Nationwide. Amounts in the Transition Account can be moved freely into the 8-year guaranteed account without surrender charges or MVA. This is most relevant at the start of the contract or around renewal decisions when you may want to accumulate premium before committing it to the longer guarantee period. Nationwide also offers other guarantee periods (3 through 10 years) within the same Platinum Edge series, so if 8 years is more than you need, a shorter guarantee period may be worth comparing.

The nursing home confinement waiver and terminal illness waiver are the secondary features worth noting. These allow penalty-free (or reduced-penalty) access to the contract without surrender charges if you are confined to a nursing home for at least 180 consecutive days or receive a terminal illness diagnosis. The MVA still applies in both cases, which limits the practical value of these waivers compared with products where MVA is also waived. State availability for these riders varies, and they are not available in all states.

The death benefit is also relevant: it pays the full contract value at death with the MVA waived, and spousal continuation is available. For couples in accumulation mode, the spousal continuation option adds meaningful flexibility.

This is an 8-year commitment, and the surrender schedule starts at 5% in years one and two, steps down to 4% in years three and four, then 3% in years five and six, and finishes at 2% in years seven and eight. That is a relatively mild schedule compared with many peers — the top charge is 5% rather than the 7-10% common on longer-duration FIAs.

The notable friction point is the MVA — Market Value Adjustment — which can increase or decrease your effective surrender cost depending on where interest rates are at the time of withdrawal. Importantly, the MVA applies not only to surrender-charge withdrawals but also to the 10% annual free withdrawal and even to RMD distributions. That means the free withdrawal is not actually free in terms of market-rate risk. In a rising rate environment, you could take your free 10% and still receive less than you expect because of a negative MVA.

RMD amounts are not subject to surrender charges, which is relevant for qualified money. But the MVA exposure on RMDs is something any IRA holder should factor in.

There are no annual contract fees, no administrative fees, and no mortality and expense charges — this is a genuinely clean cost structure. The only explicit cost beyond the opportunity cost of the lockup is the contingent deferred sales charge (CDSC) and MVA on withdrawals above the free amount.

The main tradeoffs to flag are structural. First, the MGSV is 0.00% — the spec indicates the minimum guaranteed surrender value is based on 0.00% annual growth. That is unusual for a fixed annuity; most MYGAs floor out at something like 87.5% of premium accumulating at 1-3%. A 0.00% MGSV means that in a prolonged, extreme scenario, you could theoretically receive back less than you put in (though Nationwide's financial strength makes that a remote practical risk, the contractual floor is unusually low). Second, as noted above, the MVA applies broadly. Third, the registered-security status is an additional consideration — it limits where and how you can purchase this product.

Legal Entity: Nationwide Life & Annuity Insurance Company

Parent: Nationwide Mutual Insurance Company

A.M. Best Rating: A+