Why it earned this rating
Our assessment
Secure Growth 5-Year with ROP earns a good rating because it combines a genuinely useful principal-protection floor with clean surrender terms for a 5-year MYGA. The ROP guarantee means that even a worst-case early exit cannot cost you more than you put in, and the absence of a market value adjustment removes one of the more confusing risk factors in the category. The rates are competitive but not exceptional, which keeps it just below a strong rating.
The short version
This is a 5-year guaranteed-rate annuity issued by one of the largest and most stable insurers in the country. The defining feature is the Return of Premium guarantee — a backstop that prevents you from surrendering for less than your original principal regardless of when you exit during the surrender period. That is a meaningful distinction from many MYGAs that leave buyers exposed to both surrender charges and market value adjustments if they need out early. Nationwide backs this with an A+ AM Best rating and no base contract fees. For someone who wants safety-first accumulation with a defined endpoint, this is worth a close look.
Key facts
The full review
Is Nationwide Secure Growth 5-Year with ROP a Good Annuity?
Yes, for the right buyer. If your goal is to lock in a guaranteed rate for five years with a hard floor against principal loss, this is a well-structured product from a highly-rated carrier. It is less appealing if you want any income guarantee, index-linked upside, or the flexibility to walk away without any commitment. It is also not the right choice if you are primarily shopping for the highest possible MYGA rate — the ROP guarantee is a real feature, and there is typically some rate tradeoff embedded in products that include it.
Why Someone Would Buy This Annuity
The primary reason to buy this annuity is certainty. The rate is fixed and guaranteed for the full five years. The Return of Premium guarantee means the worst-case scenario on an early exit is getting your money back — not losing a percentage of principal. Nationwide's A+ AM Best rating adds another layer of confidence for buyers who weight carrier stability heavily. The $10,000 minimum makes it accessible to a broader range of buyers than many institutional-grade MYGAs. For someone who wants to park money safely for five years and sleep well at night, the design is straightforward.
Who This Annuity Is Best For
I think this product is best suited for conservative buyers in or near retirement who want a fixed-rate alternative to CDs or short-term bonds and place particular value on principal safety. The ROP feature matters most to someone who is not fully certain they will hold for the entire five years — perhaps someone managing liquidity around a known future expense. It is also a reasonable fit for qualified money (IRA rollovers, for example) where the 10% free withdrawal covers RMD obligations and the guaranteed rate provides planning certainty. It is not a fit for anyone who wants growth above a fixed yield, income guarantees, or the flexibility to access more than 10% annually without any penalty.
What You're Really Buying Here
At its core, this is a multi-year guaranteed annuity — the insurance industry's version of a CD. You hand over a lump sum, Nationwide credits a fixed rate for five years, and at maturity you get your principal plus accumulated interest. The distinguishing element is the Return of Premium rider, which is baked in automatically. That rider is a contractual floor: if you surrender before the five years are up, Nationwide guarantees you will receive at least your original premium back. That does not mean surrendering early is free — surrender charges still apply in years one through five — but the charges cannot cut into your principal. The math is designed so that the ROP floor always exceeds any scenario where surrender charges erode below your starting amount. That is a specific and useful guarantee, not just marketing language.
How the Core Feature Works
The fixed rate is tiered by premium size and locked for the full five-year term. As of the April 2025 rate sheet, the credited rate is 3.85% annually for premiums below $100,000 and 4.10% for premiums of $100,000 or more. Both rates apply from day one and do not reset or float during the contract. There is no indexing, no participation rate, no cap — just a single credited rate compounding over five years. That simplicity is a feature for some buyers and a limitation for others. The trade is certainty in exchange for any potential upside beyond the stated rate.
Why the Secondary Feature Matters
The Return of Premium guarantee is the secondary feature that actually differentiates this product. In a standard MYGA, if you surrender in year two and the surrender charge is 7%, you receive 93% of your account value — which may be less than what you put in if the credited interest does not offset the charge. With the ROP rider included here, Nationwide contractually guarantees that the surrender value will never fall below your original premium (net of prior withdrawals). That distinction matters to buyers who are not 100% certain they will hold for the full term. It converts an uncertain worst-case into a known floor, which is a genuine risk management tool for conservative savers. The waiver provisions for nursing home confinement and terminal illness add another layer of access in hardship scenarios.
Liquidity and Surrender Schedule
This is a five-year commitment, and the contract should be evaluated on that basis. The free-withdrawal provision allows 10% of account value immediately — from day one of the contract, not after year one — which is better than many MYGAs in this category. Amounts above that are subject to the following surrender schedule:
| Contract Year | Surrender Charge |
|---|---|
| 1 | 7% |
| 2 | 7% |
| 3 | 6% |
| 4 | 5% |
| 5 | 4% |
There is no market value adjustment on this product, which removes a meaningful source of uncertainty. In a rising-rate environment, MVA clauses can significantly increase the effective cost of exiting a MYGA early. The absence of MVA here means the surrender charge table is the complete picture of early-exit cost — with the ROP floor providing the ceiling on that cost. Nursing home confinement and terminal illness waivers are available for additional hardship-driven access. RMD treatment is not explicitly detailed in available materials, but the 10% free withdrawal typically covers most RMD obligations on this size of contract.
Fees and Tradeoffs
There is no base contract fee and no rider fee. The Return of Premium rider is included automatically as part of the contract design. There are no living benefit rider charges because no income rider is offered.
The tradeoffs are structural rather than fee-based. The fixed rate is not adjustable — if market rates rise meaningfully after you lock in, you will earn below current market rates for the remainder of the term. Upside is strictly limited to the stated credited rate; there is no participation in index gains. The product does not generate income beyond systematic partial withdrawals, so it is not a fit for buyers who need a guaranteed monthly income stream. The surrender charges in years one and two are 7%, which is on the higher end for a 5-year product, though the ROP floor mitigates the practical impact.
Product snapshot
| Feature | Details |
|---|---|
| Product Type | Fixed Annuity |
| Surrender Period | 5 years |
| Issue Ages | Owner: 0-100; Annuitant: 0-90 |
| Minimum Premium | $10,000 |
| Crediting Methods | Fixed Rate |
| Free Withdrawal | 10% of account value immediately (penalty-free) |
| MGSV | 0.50% guaranteed annual return (minimum guaranteed surrender value based on 0.50% credited rate) |
| Death Benefit | Full account value |
| Income Rider | Not available |
| Premium Bonus | None |
| Availability | Variations approved in CA and NY |
Carrier snapshot
Legal Entity: Nationwide Life Insurance Company
Parent: Nationwide Financial
A.M. Best Rating: A+
Nationwide is one of the largest mutual insurance carriers in the United States. The A+ AM Best rating reflects strong financial strength and is among the highest grades available in the industry. For a fixed annuity where credit risk and carrier stability matter as much as rate, this is a significant consideration.
Final take
Secure Growth 5-Year with ROP is a clean, well-structured MYGA for conservative buyers who prioritize safety and simplicity. The combination of a guaranteed fixed rate, no MVA, and the automatic Return of Premium guarantee makes it a particularly suitable choice for someone who values knowing that their worst-case outcome is getting their money back. That is a specific promise that not every MYGA makes.
The product is not a fit for anyone who wants income guarantees, index-linked upside, or the option to access more than 10% annually without a surrender charge. And the fixed rate, while competitive, is not always the highest available in the 5-year MYGA marketplace — shoppers who are purely rate-shopping and confident they will hold to maturity may find better raw yields elsewhere. But for buyers who weight principal safety, carrier quality, and predictable outcomes above yield optimization, this is a solid option.