What are the plan’s exit rights in guaranteed insurance accounts?

Contract termination options vary depending on the structure of the product but they are always disclosed in the underlying insurance contract. Typically contracts allow the plan to terminate the contract and receive proceeds at the contract value over a stated period of time, either in installments or a lump sum payment. During this period the contract generally remains fully benefit responsive to participants and is still subject to the guaranteed minimum rate. Most contracts also allow for an immediate lump sum payment at market value based on a stated formula.