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What is an Account Value?

The starting account value is the amount you use to purchase a variable annuity. Each year, your account value may grow or decrease, depending on the return of your sub-accounts, minus fees and charges.

Variable annuities come with a host of optional features that you can select for an additional annual fee. One common type of variable annuity feature is the guaranteed account value benefit, also known as a GAV.

The GAV option added to a variable annuity a) guarantees your initial premium amount as a lump sum regardless of market performance; b) allows your account value to appreciate with market upside; and c) allows you to withdraw 100% of your account value at the end of a certain time period.

 

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