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About Transamerica
Transamerica Life Insurance Company is a subsidiary of Aegon, one of the world's largest financial services companies. A major issuer of variable annuities and a growing presence in the registered index-linked annuity (RILA) space, Transamerica offers products designed for both accumulation and income strategies. Known for broad investment menu options and competitive structured buffer strategies, Transamerica serves investors seeking market-linked growth with downside protection.
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How we scored them
Income Options84/100
Financial Strength88/100
Fees & Costs79/100
Flexibility86/100
Customer Service80/100
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The tradeoffs
What works
- Broad variable subaccount menu (74+ funds from leading managers)
- Competitive structured buffer RILA products with no-fee income rider options
- Multiple share classes and living benefit rider options for flexible planning
- Strong backing from Aegon's global financial strength
- Shorter surrender periods on B-Share and L-Share variable annuities
What to watch
- Variable annuity fee stacking can reach 3%+ with riders and subaccount expenses
- RILA products require more investor sophistication than traditional FIAs
- Fixed indexed annuity lineup is limited compared to variable offerings
- Product complexity requires careful evaluation of cost layers
- Not available in New York; limited state availability on some products
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What you could receive
Estimated guaranteed lifetime income based on a single premium payment. Actual rates may vary.
| Investment | Age | Monthly | Annual | Guarantee |
|---|---|---|---|---|
| $100,000 | 60 | $525 | $6,300 | Lifetime |
| $250,000 | 65 | $1,450 | $17,400 | Lifetime |
| $500,000 | 65 | $2,900 | $34,800 | Lifetime |
| $1,000,000 | 70 | $6,500 | $78,000 | Lifetime |
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Fee schedule
| Fee type | Amount | Description |
|---|---|---|
| Annual Contract Fee | $0 | No annual maintenance fee on base FIA contracts |
| Income Rider Fee | 0.90% - 1.45% | Annual fee for optional guaranteed lifetime withdrawal benefit; may be included at no charge on some products |
| Surrender Charge | Varies by year | Declining schedule from 9% in year one, typically reaching 0% by years 6-7 |
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Early withdrawal penalties
Charges apply to amounts above the annual free withdrawal (typically 10%).
| Yr 1 | Yr 2 | Yr 3 | Yr 4 | Yr 5 | Yr 6 | Yr 7 | Yr 8 | Yr 9 | Yr 10 |
|---|---|---|---|---|---|---|---|---|---|
| 9% | 8% | 7% | 6% | 5% | 4% | 2% | 1% | 0% | 0% |
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Best fit for these buyers
Investors comfortable with RILA structure seeking income with market-linked growth opportunity
Buyers who want broad variable investment options inside an annuity wrapper
Those seeking guaranteed income at competitive costs (no-fee RILA income rider)
Ages 55-75 planning for retirement income through diversified structured products
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Frequently asked questions
Is Transamerica a good annuity company?
Transamerica earns an average rating of 3.8/5 across the 10 products we've reviewed, with an AM Best rating of A and S&P rating of A+. Their financial strength is rated "Excellent" with $400+ Billion in total assets. Transamerica is particularly strong in overall value.
How much income can I get from a Transamerica annuity?
Income depends on your investment amount and age. For example, a $500,000 investment at age 65 could generate approximately $34,800 per year in guaranteed lifetime income. A $250,000 investment at the same age could generate about $17,400 per year.
What are the fees for Transamerica annuities?
Transamerica charges Annual Contract Fee: $0, Income Rider Fee: 0.90% - 1.45%, Surrender Charge: Varies by year. Notably, there is no annual contract fee on the base contract, which is a competitive advantage.
What is the surrender period for Transamerica annuities?
Transamerica annuities typically have a 10-year surrender period. Charges start at 9% in year one and decline to 0% in the final year. Most products allow 10% annual free withdrawals without penalty.