SILAC Annuity Products: Independent Review Hub
Written & reviewed by Hans Goldstein, EA, Independent Licensed Insurance Producer · CA license 4273294 · NPN 20602398Admitted to practice before the IRS
Independently reviewed & last updated 2026-06-08
Short answer
Is SILAC a good annuity company?
SILAC Insurance Company posts some of the highest fixed indexed annuity caps in the market, often above 10% on annual S&P 500 strategies (as of June 8, 2026), but it is a small carrier rated B by AM Best, under review with developing implications while Hildene Capital Management's acquisition is pending.
My rule: if you buy SILAC, keep the amount under your state guaranty association limit and spread larger sums across A-rated carriers.
High caps also renew yearly, so ask for the carrier's in-force renewal history before you sign.
Last updated: October 7, 2026
This page covers every SILAC Insurance Company annuity I review. SILAC posts the highest raw cap rates in the FIA market, typically 10%+ on annual point-to-point S&P 500 strategies. The price for that is the carrier: a B AM Best rating that is under review with developing implications while Hildene Capital Management's acquisition is pending.
My rule: only buy SILAC for amounts under your state guaranty fund limit (typically $250K to $300K). Above that, you are concentrating real credit risk with one small carrier.
Is the annuity you're looking at actually the best one available?
Send your email and I'll send what it really guarantees, what the surrender schedule costs you, and the two or three carriers paying more for the same guarantee. If it's already a good fit, I'll tell you that.
We’ll email it to you. Hans reads every one himself and replies within one business day. Hans Goldstein · NPN 20602398.
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CD vs MYGA, after tax
What $100,000 earns in 5 years: CD vs MYGA, after tax
Rates used: CD 5.00%, the top nationally available 5-year CD (Bankrate, October 14, 2026); change it to the rate you are offered. MYGA 5.95%, the best A-rated rate we track as of October 13, 2026: Delaware Life Pinnacle Plus 5-year (AM Best A-, negative outlook, 7/31/2026), $100,000 and up, effective October 6, 2026 (Delaware Life rate sheet).
| CD, interest taxed every year | $121,081 |
|---|---|
| MYGA, tax-deferred, before tax | $133,507 |
| MYGA after paying tax on all the interest at withdrawal | $126,136 |
| Tax deferral alone adds about | $674 |
| MYGA ahead of the CD, after tax | $5,055 |
Assumes 22% federal and 0% state income tax, no withdrawals, rates held for the whole term. MYGA interest is taxed as ordinary income when you withdraw it, not as capital gains. Gains taken before age 59 1/2 can owe a 10% IRS penalty, and cashing out early can cost a surrender charge.
In an IRA both grow tax-deferred, so the edge there is the rate alone. Bank and credit union deposits are FDIC or NCUA insured up to the limits; a MYGA is backed by the issuing insurer's claims-paying ability and your state's guaranty association up to its limits, not the FDIC. General education, not tax, legal or financial advice.
All SILAC products, at a glance
| Product | Type | Cap rate (June 2026, not current) | Goldstein verdict |
|---|---|---|---|
| SILAC Denali 14 MVA | FIA accumulation, 14-yr surrender | 10.25% | A− Top market cap, no bonus |
| SILAC Evolve 14 MVA | FIA accumulation + 5% premium bonus | 9.75% + 5% bonus | A− Top market cap with bonus |
| SILAC Teton 14 MVA | FIA accumulation, mid-cap variant | 8.25% | B+ Lower-cap SILAC variant |
SILAC FIA variant comparison: pros and cons of each product
| Product | Cap | Bonus | Pros | Cons |
|---|---|---|---|---|
| SILAC Denali 14 MVA | 10.25% | None | #1 cap in the entire FIA market; pure accumulation; cleanest SILAC structure | 14-year surrender + Tier C renewal risk + B carrier (under guaranty only) |
| SILAC Evolve 14 MVA | 9.75% | 5% premium bonus | High cap + bonus; useful as §1035 rescue product | Bonus recapture schedule; longer lock-in math; complexity higher than Denali |
| SILAC Teton 14 MVA | 8.25% | None | Different crediting strategy (some volatility-controlled options) | Lower cap than Denali (loses SILAC's main edge); 14-year lock anyway |
Which SILAC product when?
- Denali 14 if you want the top cap and don't need a bonus. It is the most straightforward SILAC structure.
- Evolve 14 if you want lifetime withdrawals built in (1.50% annual spread), a premium bonus set in the policy, and can commit for 14 years. Read the bonus recovery schedule.
- Teton 14 only if you specifically want volatility-controlled crediting. It is rarely the right choice.
Whichever you pick, stay under your state guaranty fund limit ($250K to $300K is typical). Above that, the carrier's credit risk and the pending Hildene acquisition start to matter.
Which SILAC product is best for you?
You want maximum cap (no bonus)
SILAC Denali 14 MVA. Its cap has been among the highest in the market (10.25% in June 2026; check the current rate sheet).
You want maximum cap and a premium bonus
SILAC Evolve 14 MVA. A 9.75% cap (June 2026), a premium bonus set in the policy, and a built-in lifetime withdrawal benefit paid for with a 1.50% annual spread. Read the bonus recovery schedule carefully.
You want SILAC with a lower-cap, different crediting mix
SILAC Teton 14 MVA, which uses a different crediting strategy.
Denali 14 and Evolve 14: contract terms from SILAC's brochures
The caps above are June 2026 figures. The contract terms below come from SILAC's own brochures (Denali Series, SIC-DENALI-B-06.2026; Evolve Series, SIC-EVOLVE-B), checked October 7, 2026. They correct two common assumptions: the base free withdrawal is 5%, not 10%, and Evolve is built around a lifetime withdrawal benefit paid for with a 1.50% annual spread.
| Feature | Denali 14 | Evolve 14 |
|---|---|---|
| Purpose | Accumulation | Accumulation plus a built-in lifetime withdrawal benefit (level or increasing, single or joint) |
| Other terms in the series | 5, 7 and 10 years | 7 and 10 years |
| Issue ages (14-year) | 0 to 80 (64 in Florida) | 0 to 80 (64 in Florida) |
| Premium | $10,000 minimum; additions allowed in the first 12 months; $1,000,000 maximum without home office approval | |
| Premium bonus | None (a separate Denali Bonus series and the Elevation Plus rider add one) | Included; percentage set in the policy (the brochure's Evolve 7 example assumes 3%) |
| Annual spread | None on the base policy; 0.50% with Elevation, 1.00% with Elevation Plus | 1.50% of account value, for the lifetime withdrawal benefit |
| Free withdrawal, years 2+ | 5% of account value (10%, carry-over to 30%, with Elevation or Elevation Plus) | 5% of account value |
| Early-exit costs | Withdrawal charge, MVA and interest recovery | Withdrawal charge, MVA and interest and bonus recovery |
| Health access (after year 1, no extra cost) | Nursing home (90 consecutive days) and terminal illness: up to 100% of account value; home health care: up to 20% a year for 5 years (nursing home and home health not in South Dakota) | |
| Extra Evolve feature | None | Wellness withdrawal if you cannot perform 2 of 6 activities of daily living: double the single lifetime withdrawal, for up to 5 years |
| Minimum cap / participation (secondary source) | 1.50% / 15% | 1.50% / 15% |
What the spread does: SILAC says it never exceeds the year's interest credit. Hypothetical, $100,000 in Evolve 14: an index year credited at 6.00% nets 4.50% ($4,500) after the 1.50% spread; a year credited at 1.00% nets 0%, not a loss.
Over a strong-market 14 years the spread can cost more than the bonus adds, so it pays for itself only if you plan to use the lifetime withdrawals. On access, 5% free on $100,000 is $5,000 a year, half of what most 10%-free FIAs allow.
Ask for the withdrawal charge and recovery schedules for your state; they are in SILAC's Certificate of Disclosure, not the brochure.
SILAC's strengths
The caps are the best in the FIA market, typically 2 to 4 percentage points higher than A+ carriers. State guaranty fund coverage protects buyers who stay under their state's limit (roughly $250K to $300K). And there are three variants (Denali, Teton, Evolve) with different bonus and cap combinations.
SILAC's weaknesses + critical caveats
- AM Best B, the lowest rating among the FIA carriers I review, and it is under review with developing implications while the Hildene acquisition is pending.
- KBRA withdrew its rating after the acquisition was announced. Weiss rates SILAC C on its consumer-focused scale.
- A 14-year surrender period, the longest in the FIA market.
- Poor customer service. It is a small carrier, and the acquisition has made service slower.
- Tier C renewal integrity. Check the in-force cap history before you buy.
- Not appropriate above your state guaranty fund limit ($250K to $300K is typical).
The SILAC trade-off
What you get: 2 to 4 percentage points more cap per year for 14 years, which could mean $30K to $60K more credited interest on a $250K purchase than A+ rated Athene PEC.
What you give up: a lower carrier rating, acquisition uncertainty and a Tier C renewal track record.
Under the guaranty fund limit, the state backstop makes the credit risk close to immaterial, so SILAC's higher cap is the difference that counts.
Above the limit, the math flips. The credit risk becomes real, and I would step up to Athene PEC 15 Plus: a 7% cap, but Tier S renewal integrity and an A+ carrier.
Carrier ratings summary
| Agency | Rating |
|---|---|
| AM Best | B (under review) |
| S&P | n/a |
| Moody's | n/a |
| Fitch | BBB− |
| Weiss | C |
| KBRA | Withdrawn |
| COMDEX | 38/100 |
| Renewal Rate Integrity | Tier C (elevated risk) |
| Customer Service | Poor |
Important rating note (carrier-specific)
AM Best placed SILAC's rating under review with developing implications pending the announced acquisition by Hildene Capital Management. Until the acquisition closes and a fresh rating is issued, buyers should:
- Verify the current rating status before purchase
- Confirm the in-force renewal-rate history for the specific product
- Stay under state guaranty fund limit
- Get the closing-side regulatory approval status
Featured SILAC product deep-dives
- SILAC Denali 14 contract terms: top cap
- SILAC Evolve 14 contract terms: top cap + bonus
- SILAC Teton 14 MVA Review: mid-cap variant
Related comparisons
- Best FIA Cap Rates 2026: SILAC vs A-rated alternatives
- Best Annuity Renewal Rate Integrity: why SILAC is Tier C
- Annuity Premium Bonus: Good or Bad? (relevant to Evolve's bonus)
- Best Annuity Companies 2026
Renewal rate risk: FIA caps can change after year one
The cap you are quoted on a fixed indexed annuity is not locked like a mortgage rate. It covers the first crediting period, usually one year. At each contract anniversary the carrier can reset it anywhere above the contract minimum.
It works much like a high-yield savings rate: the bank can lower that next month, and the carrier can lower your cap next year. The reason is how caps are funded. The carrier puts most of your premium in bonds and uses part of the yield to buy index options.
When bond yields fall, that option budget shrinks and caps get cut. Caps were cut across the industry in the 2010 to 2021 low-rate years and came back after 2022.
The minimum cap is the only guarantee
Every FIA states a minimum guaranteed cap in the contract. Some are as low as 1%, which protects you from almost nothing. Better contracts set 2 to 3%, and a few set 4% or more. Read that number before you sign.
Questions to ask before you buy
- "What is the minimum guaranteed cap in this contract?"
- "Can you show me this product's in-force renewal-rate history for the last 5 years?"
- "What cap are contracts sold in 2020, 2018 and 2015 getting today?"
- "If the cap drops to the minimum, what would I realistically earn each year?"
If the agent can't answer questions 2 and 3 with documents, you don't have enough information to buy yet.
How an FIA works, in plain terms
A fixed indexed annuity credits interest based on a stock index, with a cap on the upside and a 0% floor on the downside. A market drop can't reduce your account value, and in a big up year you only get the capped amount.
Example: $100,000 in an FIA with a 7% annual point-to-point cap on the S&P 500.
- S&P up 12%: you are credited the 7% cap, $7,000.
- S&P up 4%: you get the full 4%, $4,000.
- S&P down 20%: you get 0%, and the principal is untouched.
Where the cost sits: an FIA with no income rider has no explicit annual fee. The carrier pays for the floor by capping your upside. Surrender charges run 7 to 15 years if you pull out early, and most contracts let you take about 10% a year without a charge.
Quick FIA FAQ
Q: Will the cap rate change after I buy?
A: Yes. Caps renew every year, within the contract minimum. A 7% cap at purchase can be cut over time, down to the contract minimum, which on most FIAs that publish one is 1% or less. Check the minimum guaranteed cap in your contract.
Q: Why is my cap lower than my friend's FIA?
A: Carriers trade cap for other features: a premium bonus, a longer surrender period, an income rider or a bigger brand name. Two FIAs with similar headlines can be built very differently.
Q: What is the "minimum guaranteed cap"?
A: The lowest cap the carrier can set on your contract. On most FIAs that publish one it is 1% or less, some as low as 0.25%, and a few set 2% to 3%. With a 1% minimum, your worst case is close to 0% after inflation.
Q: How are FIA gains taxed?
A: Growth is tax-deferred. Gains are taxed as ordinary income when you withdraw them, and gain taken before 59½ usually carries a 10% IRS penalty.
Q: Can I lose money?
A: Not from a market drop. You can lose money by surrendering early (surrender charge) or through a market value adjustment. Hold to the end of the surrender period and neither applies.
Q: How long is the surrender period?
A: It varies: 7 years on some (Athene PEC 7 Plus), 10 on most, 14 to 15 on bonus products. A longer surrender period usually buys a higher cap or a bigger bonus.
Q: What's the difference between cap, participation rate, and spread?
A: The cap is the most you can be credited. The participation rate is the share of the index gain you get. The spread is a percentage subtracted from the index gain. Some products combine them. See How Annuity Crediting Actually Works.
Q: Should I add an income rider?
A: Only if you will actually turn it on for lifetime income. The fee (0.85% to 1.50% a year) is charged whether you use it or not, and plenty of owners pay it for years and never do.
Sources
- AM Best SILAC Insurance Company rating report (note: under review with developing implications)
- Hildene Capital Management SILAC acquisition disclosure
- ARW FIA cap rate data, June 2026
Get a second opinion before you sign
Talk to Hans Goldstein, a licensed independent insurance producer.
A fixed indexed annuity ties up your money for 7 to 15 years. Cap rates renew annually and can drop. Income riders have separate benefit bases that aren't cash. Have me review it before you commit retirement savings to a multi-year contract.
Send your details. Within one business day I'll send a written review of your quote and a side-by-side with two alternatives. You can also book a free 15-minute call.
Rather talk it through? Or book 15 minutes on Hans’s calendar, or call 213-414-2808.
Hans Goldstein · 213-414-2808 · NPN 20602398, independent licensed insurance producer appointed with multiple A-rated carriers
We’ll email it to you. Hans replies within one business day. Privacy Policy.
Disclosure
This review is based on the carrier's public product materials and rates as of the date shown above. Annuity rates, caps, participation rates, payout factors, crediting methods, and long-term care benefit structures change often, sometimes monthly. Confirm current figures in the latest carrier disclosure and the contract before you buy. This is general education, not a personal recommendation or an offer of any product. Hans Goldstein is an independent licensed insurance producer (CA license 4273294, NPN 20602398) appointed with several A-rated carriers. His appointment with the carrier reviewed here may vary, and this review is not an endorsement. No carrier paid for this review. Always read the actual contract and consult a licensed advisor before purchasing any annuity or long-term care insurance product. Past index performance does not predict future credited interest. Annuities and hybrid life+LTC policies are long-term contracts with surrender charges; they are not suitable for funds you may need before the end of the surrender period. AM Best ratings and tax treatment are subject to change. Tax discussion of IRC §7702B, §1035, and the Pension Protection Act of 2006 reflects law as of 2026 and is subject to change.
Goldstein Complexity Index
Every annuity I review gets a complexity score from 0 to 100. Higher means harder to understand. Complexity is where buyers get hurt: riders they didn't know they were paying for, surrender charges that surprise them, and income "benefit bases" they took for cash. SPIAs and MYGAs score low. Products that stack a bonus, an income rider, an MVA and several crediting options score high.
This product's score: 40/100, Grade A (Mostly clear)
One or two complications (a rider, a crediting choice). With a 30-min agent walkthrough, most buyers understand it.
Score breakdown
| Dimension | Score (1-10) | What this measures |
|---|---|---|
| Riders | 5/10 | How many riders, optional or built in (income, death benefit, LTC). Each one adds cost and one more thing to understand. |
| Crediting strategies | 5/10 | How many index options (cap, spread, participation rate, step rate, volatility-controlled indices). More choices are harder to follow. |
| Surrender complexity | 7/10 | Length of the surrender period, plus any MVA and bonus recapture. The longer and more layered it is, the harder it is to know what leaving early costs. |
| Benefit-base separation | 3/10 | Whether there is a separate income base ("PIV") that is not cash but looks like it. This causes more buyer confusion than anything else. |
| Bonus structure | 3/10 | A premium bonus with a recapture schedule. The bonus is real, but you can lose part of it if you leave early. |
How to read this
- A+/A (0-40): Easy to understand. A pure accumulation FIA, a MYGA or a SPIA. Little room for mis-selling.
- B (41-60): Read the contract carefully and get a second opinion before signing. Income riders cause most of the confusion.
- C (61-80): Many owners don't fully understand what they bought. Common mis-sells: a bonus presented as cash, a benefit base presented as account value, surrender charges glossed over.
- D (81-100): Get an independent second opinion before signing. The product may still fit you, but the odds you later say "I didn't know it worked that way" are high.
Why it matters: nobody gets sued for selling a complicated product, but buyers regret them all the time. An annuity that wins your money in year one and confuses you for the next 14 is worse than a simpler one you understood from the start. Simple products are easier to check.