The short version
What you give up for that protection is upside and access: the credit on any given strategy is limited by a cap, participation rate, or spread, and the money is under a surrender charge for 5 years.
Its 1-Year S&P 500 Point to Point Capped account caps at 10.75% — one of 9 crediting accounts on the contract. The full menu, with every account's own cap, participation rate, or spread, is in the table below.
How this contract works
A fixed indexed annuity works by measuring an index's return over a set period and applying a crediting formula to decide how much of it you keep. A cap sets a ceiling on the credit; a participation rate credits a percentage of the index's gain; a spread subtracts a fixed amount before crediting the rest. None of it is direct market ownership, and none of these formulas can produce a negative credit — the worst a crediting period can do is pay zero. The guarantee behind all of it is a contractual obligation of Reliance Standard Life, backed by the company's own reserves, not by the FDIC and not by any bank.
The contract also carries a declared fixed account paying 5.45%, for premium you would rather not tie to an index at all. Money can typically be moved between the fixed account and the index strategies at each contract anniversary; check the carrier's disclosure for the exact transfer window.
Getting your money out
The contract allows 10% out each year without a surrender charge. Beyond that allowance, a withdrawal during the surrender period is reduced by the charge for that contract year — on top of whatever the index accounts did or didn't earn.
The surrender charge starts at 8% in year 1 and steps down to 5% in year 5; the full schedule is in the table below. Those percentages come off the amount you withdraw, which is why an early exit can return less than you put in even in a year the index accounts credited something.
Fees and tradeoffs
The Enhanced Death Benefit carries a charge of 0.40% annually , and it is optional — declining it removes both the benefit and the charge. That charge buys the rider's benefit; it does not raise the credit on any index account.
The real tradeoffs on a contract like this are the crediting caps and the surrender period, not a visible fee line. Gains come out as ordinary income rather than capital gains, and a withdrawal before age 59½ generally carries a 10% IRS penalty on top of the tax. Neither is a reason to avoid the product; both are reasons it suits money you have already decided not to touch.
Who this fits
This contract fits someone who wants a floor under retirement money and is willing to trade full market upside for it, and who can leave the premium alone for 5 years. It is not a substitute for direct market investing — the caps and participation limits mean a strong market year is only partly captured.
It does not fit an emergency fund, money that may be needed for a medical or housing event, or a buyer who expects to capture a bull market in full. Anyone under 59½ should weigh the tax penalty before treating this as a savings account.
The carrier
Every guarantee in this contract is only as good as Reliance Standard Life, which currently holds an A.M. Best financial strength rating of A++. An annuity is not FDIC insured; the backstop is the carrier's own balance sheet, with state guaranty association coverage behind it at limits that vary by state.
The contract is filed in 51 states, not including New York — New York files its own annuity products, so a New York resident is shopping a different and much smaller shelf.
- Death Benefit
- Greater of full annuity value or the Minimum Contract Value, paid to beneficiary(ies) upon the owner's death; passes directly without probate delays
- Minimum Guaranteed Surrender Value
- Greater of 100% of premium paid (less withdrawals and early withdrawal penalties) at 1.00% annually, or 87.5% of premium (less withdrawals) accumulated at the non-forfeiture rate of 1%-3% annually, less applicable premium tax
- Withdrawal Provisions
- No more than one Penalty Free Withdrawal request per Contract Year; each request must be at least $500. Systematic withdrawals may only be taken from the Fixed Interest Strategy. Owner may reallocate a minimum of $5,000 per strategy on each Contract Anniversary (with notice); $5,000 must remain in any one strategy. Nursing home confinement start requirement is after Contract Year 1 in CA, FL, ND & SD. Maximum premium $1,000,000 (age 0-75) / $500,000 (age 76-85) without prior approval.
- Waiver Riders
- Qualified Nursing Care Benefit (25% penalty-free annual withdrawal during 90+ consecutive-day qualified nursing home/hospital confinement, issue age 74 or younger) and Terminal Illness/Condition Benefit (full annuity value penalty-free after contract year 1 upon terminal illness diagnosis)
Frequently asked questions
What cap does the Reliance Accumulator 5 pay right now?
Its 1-Year S&P 500 Point to Point Capped account currently caps at 10.75%. That is a snapshot of the current rate sheet, not a permanent number — carriers reprice these accounts regularly, usually once a year on the contract anniversary. The full menu of accounts, each with its own terms, is in the table on this page.
How does a fixed indexed annuity actually credit interest?
The insurer measures a market index's return over a set period and applies a formula — a cap, a participation rate, or a spread — to decide how much of that return you're credited. A negative index period credits zero, never a loss. You are never invested in the index itself.
Is my money locked up for 5 years?
Not locked, but charged. You can take money out at any time; withdrawals above the free allowance during the 5 years surrender period are reduced by the surrender charge for that year.
What happens at the end of the surrender period?
Contracts generally give you a short window to surrender without a charge, or you can leave the money in and keep crediting on whatever accounts are then offered. Renewal cap and participation rates are not known in advance and are usually not the ones you started with — check the carrier's disclosure for the exact window.
Is this FDIC insured?
No. Annuities are issued by insurance companies and are not guaranteed by any bank or by the FDIC. The guarantee is Reliance Standard Life's contractual obligation, backed by its reserves, with state guaranty association coverage behind it at limits that vary by state.
What happens if I die before the surrender period ends?
Greater of full annuity value or the Minimum Contract Value, paid to beneficiary(ies) upon the owner's death; passes directly without probate delays This is stated in the carrier's brochure as of July 17, 2026; confirm it against the contract you are actually issued.
