GILICO Rate Lock — 4-year fixed annuity at 4.50%
- Locks in 4.50% for 4 years
- Open with $10,000 to $3,000,000
- Free withdrawals allowed for:
- 5% of your balance each year
- Your full investment for nursing home confinement or terminal illness
Rates as of May 8, 2026
Projected balance
over 4 years
Compounded at 4.50% guaranteed. No market exposure, no fees deducted from your balance.
| Year | Earnings | Balance |
|---|---|---|
| 1 | $4,500 | $104,500 |
| 2 | $4,703 | $109,203 |
| 3 | $4,914 | $114,117 |
| 4 | $5,135 | $119,252 |
| Total earnings | $19,252 | $119,252 |
Free-withdrawal allowance: 5% / yr after year 1. Withdrawals beyond the allowance trigger the surrender charge below.
- Rank vs. peers
- #27 of 37 (top is 6.05% — Mountain Life Alpine Horizon)
Same product, other terms
Other Rate Lock terms from GILICO
Projections shown for a $100,000 premium.
| Term | Rate | Projection | |
|---|---|---|---|
| 3-year | 4.30% | $113,463 | View → |
| 4-year | 4.50% | $119,252 | You're here |
| 5-year | 4.80% | $126,417 | View → |
| 6-year | 4.10% | $127,264 | View → |
| 7-year | 4.80% | $138,845 | View → |
| 8-year | 4.10% | $137,913 | View → |
| 9-year | 4.10% | $143,568 | View → |
| 10-year | 4.10% | $149,454 | View → |
If you withdraw early
Surrender charge schedule
Surrender charges apply to withdrawals beyond the free-withdrawal allowance during the contract term. The charge is a percentage of the amount withdrawn, decreasing each year. They exist because the carrier matches your premium against long-duration assets — early redemption forces them to unwind those positions.
| Contract year | Charge |
|---|---|
| Year 1 | 9.0% |
| Year 2 | 8.0% |
| Year 3 | 7.0% |
| Year 4 | 6.0% |
Contract terms
What else to know
Term
4 years guaranteed at 4.50% APY
Investment range
$10,000 – $3,000,000
Rate banding
Higher investment amounts qualify for higher rates.
| Premium band | Rate |
|---|---|
| $10,000 – $100,000 | 4.40% |
| $100,000 – $250,000 | 4.50% |
| $250,000 – $3,000,000 | 4.50% |
Funding sources accepted
Roth Conversion (Full), Traditional IRA, Non-Qualified, IRA Rollover, IRA Transfer, IRA-Roth
Owner age
0 to 100 years old
Death benefit
Full accumulated value passes to your beneficiary, no surrender charge.
Riders & waivers
- Terminal Illness Waiver
- Nursing Home Waiver
Maturity
30-day window at the end of the term to withdraw, reinvest, or convert to guaranteed income via annuitization.
Tax treatment
Interest accumulates tax-deferred. Personal post-tax funds: only the interest is taxable on withdrawal. Withdrawals before age 59½ may be subject to a 10% IRS penalty.
Source: GILICO contract brochure (download PDF). Anything you act on should be confirmed against the carrier's most recent filing.
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