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COVID-19 FAQs

All of your questions answered in one place

We know it’s been a trying time for many. The coming weeks may bring additional challenges as our communities deal with the evolving impact of the COVID-19 outbreak. Rest assured that F&G is financially strong and well positioned for the long term. Our products are working as designed, meaning you are protected from market declines and can rely on the promises we have made to you.

General Questions

tab closedtab open Given the low rate environment, is my money with F&G safe?

F&G is financially strong and well positioned for the long term. Our products are working as designed, meaning our policyholders are protected from market declines and can rely on the promises we have made.

We are encountering unprecedented times, and it’s an opportunity to reach out to your agent to walk through the impact the current environment may have on your life policy or annuity contract.

tab closedtab open Is F&G going about business as usual?

Yes, F&G has taken the appropriate measures to continue business as normal as possible, while ensuring the safety of our employees and limiting the impact to our clients.

tab closedtab open Will F&G be making any exceptions for COVID-19 (similar to those made for a natural disaster)?

F&G understands the impact that COVID-19 is having on our nation and will work with each state’s Department of Insurance to accommodate any relief extended to our policyholders. This may include extra time to make life insurance payments, submit reallocation requests on annuity contracts, or decisions related to annuity contract renewals.

tab closedtab open What does the CARES Act mean for my IRA annuity?

In response to COVID-19, the Coronavirus Aid, Relief and Economic Security (CARES) Act was passed. If you own an IRA annuity, this act provides some relief that you should discuss with your financial professional and/or tax advisor. Here are some highlights:

  • RMDs: Required Minimum Distributions from IRAs for 2020 can be suspended. If you are already taking RMDs from your annuity, that will continue uninterrupted unless you notify us that you wish to suspend it.
  • Creation of a CRD (Corona Related Distribution): The bill waives the 10% early withdrawal penalty for distributions up to $100,000 for COVID-19-related purposes. Withdrawals are still taxed, but taxes can be spread over three years or you may roll the funds back into your IRA over a three-year period.
  • Important Note: A CRD withdrawal will reduce the surrender value of the contract and may affect other guaranteed and non-guaranteed features. Surrender penalties may be assessed, based on contract provisions. If you are considering this type of distribution, we encourage you to consult with your tax advisor.

tab closedtab open What does the Extended Tax Deadline for IRA Contributions mean for my IRA annuity?

If you own an IRA annuity, please discuss the extended tax deadline for IRA contributions with your financial professional and/or tax advisor. The deadline for making contributions to your IRA for 2019 has been extended and must now be postmarked by July 15, 2020 for the 2019 tax year. To ensure that IRA and Roth IRA annuity contributions are applied to the correct year, you must:

  • Include “2019” in the memo section on checks; or
  • State that the contribution is for 2019 in letters of intent.
  • Otherwise, F&G will consider contributions to be for the 2020 tax year. We will require you to submit excess contribution forms should you provide notice later that contributions are for the incorrect tax year. Please note that SEP funds are posted for the year we receive them.

Annuity Specific

tab closedtab open Will F&G be allowing penalty-free surrenders in the first contract year (FIA only)?

Our fixed indexed annuities allow penalty-free withdrawals after the first contract year. We will not be making any adjustments or exceptions to this contract provision.

Life Specific

tab closedtab open Will F&G be waiving premium payments?

F&G understands the impact that COVID-19 is having on our nation and will work with each state’s Department of Insurance to accommodate any relief extended to our policyholders. This may include additional time to make life insurance payments to prevent lapse in coverage. We will not be waiving premiums.

tab closedtab open Can I take a loan or surrender my policy should I need access to these funds?

Please reach out to your agent to discuss what options are best for you during this time.

View New York-specific COVID-19 updates in this letter.

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For more questions not related to COVID-19, please visit our Policyholder FAQs or Agent FAQs.