Why change providers

  • Do you get the service you need from your current provider?
  • Does your contract include the options you want, or are you paying for benefits you won’t use?
  • Could you reduce your costs by moving to another provider?

What to look for

  • Do you have confidence in the financial strength of the issuing insurance company?
  • Does the new provider offer a diverse lineup of investments to meet your goals?
If you decide that a provider change makes sense for you, check to see if your contract is eligible for a 1035 exchange—a tax-free transfer of an insurance contract from one provider to another. If your annuity is funded with after-tax assets, there’s a good chance you can complete the transfer tax-free. But it’s important to know if you’re subject to a surrender charge, since the penalty could outweigh the benefits of switching to a new provider.

Consider the Vanguard Variable Annuity

Issued by Transamerica Premier Life Insurance Company and, in New York State only, by Transamerica Financial Life Insurance Company, the Vanguard Variable Annuity can help you save more for retirement. With costs among the lowest in the industry and backing from a highly rated issuer, you get tax-deferred savings with the potential for long-term growth.*

The Vanguard Variable Annuity offers a broad range of stock, bond, and money market portfolios to meet your investment objectives, including some that are index-based and built on Vanguard mutual funds. The average costs for the Vanguard Variable Annuity are more than 70% lower than the industry average for variable annuities. That difference can save you an average of $1,700 a year in fees for every $100,000 you invest.**

We can help

So if you’re wondering whether you can save money by transferring to a Vanguard Variable Annuity, or have questions about 1035 exchange rules, our licensed, noncommissioned annuity specialists can help you:

  • Evaluate optional contract features and related expenses.
  • Compare fees and help calculate your potential savings.
  • Ensure a smooth transition if you change providers.

Call Vanguard Annuity and Insurance Services at 800-806-3769 on business days, Monday through Friday, from 8 a.m. to 8 p.m., Eastern time.

Learn more about the Vanguard Variable Annuity

*Transamerica Premier Life Insurance Company and Transamerica Financial Life Insurance Company received the A+ (Superior) rating for operating performance and financial stability, according to A.M. Best Company. This is the second highest of 16 ratings. Ratings are current as of May 1, 2017. To review a list of additional ratings, visit transamerica.com. Ratings of the insurance company do not apply to the Vanguard portfolios and do not provide protection against investment risk.

**Source: Morningstar, Inc., as of December 2016. The Vanguard Variable Annuity has an average expense ratio of 0.52%, versus the annuity industry average of 2.26%; excludes fees for optional riders. Actual expense ratios for the Vanguard Variable Annuity range from 0.40% to 0.71%, depending on the investment allocation. The expense ratio includes an administrative fee of 0.10% and a mortality and expense risk fee of 0.19%. The expense ratio excludes additional fees that would apply if the Return of Premium death benefit rider or Secure Income (Guaranteed Lifetime Withdrawal Benefit) rider is elected. In addition, contracts with balances under $25,000 are subject to a $25 annual maintenance fee.

This material was prepared for general distribution. It is being provided for informational purposes only and should not be viewed as an investment recommendation. If you need advice regarding your particular investment needs, contact a financial professional.

Variable annuities are long-term investment vehicles designed for retirement purposes and contain underlying investment portfolios that are subject to investment risk, including the possible loss of the money you invest. If you take withdrawals from a variable annuity prior to age 59½, you may have to pay ordinary income tax plus a 10% federal penalty tax.

Investments in bond funds are subject to interest rate, credit, and inflation risk.

For more information about Vanguard Variable Annuity products, visit vanguard.com or call 800-806-3769 to obtain fund and variable annuity contract prospectuses. Investment objectives, risks, charges, expenses, and other important information about the products are contained in the prospectuses; read and consider them carefully before investing.

Before making a decision to switch to another annuity, including the Vanguard Variable Annuity, you should consider all costs—such as annual maintenance fees, surrender charges, fees for optional riders and death benefits—as well as the financial strength of the insurance carrier. The Vanguard Variable Annuity is issued and guaranteed by Transamerica Premier Life Insurance Company and, in New York State only, by Transamerica Financial Life Insurance Company.

The Vanguard Variable Annuity is a flexible-premium variable annuity issued by Transamerica Premier Life Insurance Company, Cedar Rapids, Iowa (NAIC No. 66281), and in New York State only, by Transamerica Financial Life Insurance Company, Harrison, New York (NAIC No. 70688). Form No. VVAP U 1101 (in Florida, Form No. VVAP U 1101 (FL), and in New York, VVA NY 0208(R13)), without agent representation. Policy and rider form numbers may vary by state and may not be available in all states. The Vanguard Group administers the Vanguard Variable Annuity for the issuer. Its variable annuity and investment costs rank among the lowest in the industry, according to Morningstar, Inc., December 2016. The Vanguard Group, Transamerica Premier Life Insurance Company, and Transamerica Financial Life Insurance Company do not provide tax advice. Investors are encouraged to consult a tax advisor for information on how annuity taxation applies to their individual situations.

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