Connecticut has some of the highest per-capita incomes in the country — and a top income tax rate of 6.99% that means high earners pay a significant price for taxable investment income every year. Hartford, Stamford, Greenwich, and the Fairfield County corridor are home to retirees with substantial assets who have real dollars at stake in the deferral-vs-taxable choice. Before comparing rates, see how annuities work and which type makes the most sense for your retirement income plan.
Below are today’s best MYGA rates available to Connecticut residents, filtered to A-rated carriers only, updated daily.
2-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oceanview Life and Annuity | Harbourview 2 | 4.80%Top Rate | 2 yr | $70,000 | 10% | |
| GBU Life | Asset Guard Select 2 | 4.75% | 2 yr | $25,000 | 10% | |
| Mass Mutual | Premier Voyage 2 | 3.45% | 2 yr | $1,000,000 | 10% |
3-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 3 (Simple Interest) SI | 5.60%Top Rate | 3 yr | $100,000 | 0% | |
| Fidelity Security Life Insurance Company | TaxVantage® Multi-Year Guaranteed Annuity 3 | 5.25% | 3 yr | $2,500 | 0% | |
| Knighthead Life | Staysail 3 With Liquidity (Simple Interest) SI | 5.25% | 3 yr | $100,000 | 10% | |
| Ibexis | MYGA Plus 3 (Simple Interest) SI | 5.20% | 3 yr | $100,000 | 10% | |
| Athene IA | Athene Max Rate 3 (state specific) | 4.90% | 3 yr | $100,000 | Interest Only | |
| Oceanview Life and Annuity | Harbourview 3 | 4.90% | 3 yr | $70,000 | 10% | |
| Midland National Life | MNL Guarantee Pro 3 | 4.85% | 3 yr | $100,000 | Interest Only | |
| Symetra Life Insurance Company | Symetra Select Max 3 | 4.85% | 3 yr | $250,000 | Interest Only |
4-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oceanview Life and Annuity | Harbourview 4 | 5.20%Top Rate | 4 yr | $70,000 | 10% | |
| Oxford Life Insurance Company | Multi-Select 4 | 5.10% | 4 yr | $20,000 | 10% | |
| Clear Spring Life | Preserve MYGA 4 | 4.90% | 4 yr | $100,000 | 10% | |
| GBU Life | Asset Guard Select 4 | 4.75% | 4 yr | $25,000 | 10% | |
| Guardian Insurance & Annuity Co. | Guardian Fixed Target Annuity 4 | 4.65% | 4 yr | $100,000 | 10% | |
| Corebridge Financial | Corebridge Pathway Choicesm Fixed 4 Annuity GROP | 4.50% | 4 yr | $100,000 | 10% | |
| Guaranty Income Life | Guaranty Rate Lock 4 | 4.50% | 4 yr | $100,000 | 5% | |
| Corebridge Financial | Corebridge Pathway Choicesm Fixed 4 Annuity | 4.45% | 4 yr | $100,000 | 10% |
5-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 5 (Simple Interest) SI | 6.30%Top Rate | 5 yr | $100,000 | 0% | |
| Ibexis | MYGA Plus 5 (Simple Interest) SI | 5.75% | 5 yr | $100,000 | 10% | |
| Knighthead Life | Staysail 5 With Liquidity (Simple Interest) SI | 5.75% | 5 yr | $100,000 | 10% | |
| Fidelity Security Life Insurance Company | TaxVantage® Multi-Year Guaranteed Annuity 5 | 5.65% | 5 yr | $2,500 | 0% | |
| Liberty Bankers Life | Heritage Elite 5 | 5.40% | 5 yr | $10,000 | 0% | |
| Liberty Bankers Life | Heritage Premier 5 | 5.35% | 5 yr | $10,000 | Interest Only | |
| Oxford Life Insurance Company | Multi-Select 5 | 5.20% | 5 yr | $20,000 | 10% | |
| Royal Neighbors of America | MYGA 5 Year | 5.20% | 5 yr | $100,000 | Interest Only |
6-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oxford Life Insurance Company | Multi-Select 6 | 5.55%Top Rate | 6 yr | $20,000 | 10% | |
| Oceanview Life and Annuity | Harbourview 6 | 5.50% | 6 yr | $70,000 | 10% | |
| Clear Spring Life | Preserve MYGA 6 | 5.10% | 6 yr | $100,000 | 10% | |
| Guardian Insurance & Annuity Co. | Guardian Fixed Target Annuity 6 | 4.80% | 6 yr | $100,000 | 10% | |
| Mass Mutual | Premier Voyage 6 | 4.70% | 6 yr | $1,000,000 | 10% | |
| American General Life Insurance Company | American Pathway VisionMYG 6 | 4.30% | 6 yr | $100,000 | 15% | |
| Corebridge Financial | American Pathway VisionMYG 6 | 4.30% | 6 yr | $100,000 | 15% | |
| Guaranty Income Life | Guaranty Rate Lock 6 | 4.10% | 6 yr | $100,000 | 5% |
7-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 7 (Simple Interest) SI | 6.50%Top Rate | 7 yr | $100,000 | 0% | |
| Ibexis | MYGA Plus 7 (Simple Interest) SI | 5.95% | 7 yr | $100,000 | 10% | |
| Knighthead Life | Staysail 7 With Liquidity (Simple Interest) SI | 5.95% | 7 yr | $100,000 | 10% | |
| Liberty Bankers Life | Heritage Elite 7 | 5.45% | 7 yr | $10,000 | 0% | |
| Oxford Life Insurance Company | Multi-Select 7 | 5.45% | 7 yr | $20,000 | 10% | |
| Liberty Bankers Life | Heritage Premier 7 | 5.40% | 7 yr | $10,000 | Interest Only | |
| Aspida | Synergy Choice 7 | 5.30% | 7 yr | $100,000 | 0% | |
| American National Insurance Company | Palladium MYG Annuity 7 | 5.25% | 7 yr | $250,000 | 10% |
8-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oxford Life Insurance Company | Multi-Select 8 | 5.20%Top Rate | 8 yr | $20,000 | 10% | |
| Clear Spring Life | Preserve MYGA 8 | 5.10% | 8 yr | $100,000 | 10% | |
| Guaranty Income Life | Guaranty Rate Lock 8 | 4.10% | 8 yr | $100,000 | 5% |
9-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Liberty Bankers Life | Heritage Elite 9 | 5.50%Top Rate | 9 yr | $10,000 | 0% | |
| Liberty Bankers Life | Heritage Premier 9 | 5.45% | 9 yr | $10,000 | Interest Only | |
| Liberty Bankers Life | Heritage Premier Plus 9 | 5.35% | 9 yr | $10,000 | Interest Only | |
| Liberty Bankers Life | Heritage Classic 9 | 5.25% | 9 yr | $10,000 | 10% | |
| Securian Financial | SecureOption Choice 9 | 5.20% | 9 yr | $500,000 | 10% | |
| Clear Spring Life | Preserve MYGA 9 | 5.10% | 9 yr | $100,000 | 10% | |
| Oxford Life Insurance Company | Multi-Select 9 | 5.10% | 9 yr | $20,000 | 10% | |
| Guaranty Income Life | Guaranty Rate Lock 9 | 4.10% | 9 yr | $100,000 | 5% |
10-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oceanview Life and Annuity | Harbourview 10 | 5.55%Top Rate | 10 yr | $70,000 | 10% | |
| Royal Neighbors of America | MYGA 10 Year | 5.30% | 10 yr | $100,000 | Interest Only | |
| Oxford Life Insurance Company | Multi-Select 10 | 5.15% | 10 yr | $20,000 | 10% | |
| American National Insurance Company | Palladium MYG Annuity 10 | 5.10% | 10 yr | $250,000 | 10% | |
| Clear Spring Life | Preserve MYGA 10 | 5.10% | 10 yr | $100,000 | 10% | |
| Reliance Standard Life | Reliance Guarantee - 10 | 5.10% | 10 yr | $20,000 | 10% | |
| Lincoln Financial | Lincoln MYGuarantee Plus 10 | 4.95% | 10 yr | $100,000 | 10% | |
| American General Life Insurance Company | American Pathway VisionMYG 10 | 4.65% | 10 yr | $100,000 | 15% |
Rates shown are for informational purposes only and subject to change without notice. Only carriers rated A− or better by AM Best are included. Products marked SI use simple interest — the effective compound yield is lower than the stated rate. Minimum premiums shown are for non-qualified (after-tax) funds. Always verify current rates with a licensed annuity broker before purchasing.
Key Takeaways
- Connecticut’s top income tax rate is 6.99% — making tax-deferred annuity growth meaningfully valuable during accumulation for residents in the upper brackets
- Connecticut fully exempts Social Security from state income tax for residents with income below certain thresholds
- The Connecticut Life and Health Insurance Guaranty Association protects up to $300,000 in annuity present value per person, per insurer
- Connecticut law requires a minimum 10-day free-look period for annuity contracts
- Connecticut has a state estate tax — but the exemption has been raised to align with the federal threshold, reducing exposure for most estates
Are Fixed Annuities a Good Investment in Connecticut?
Connecticut residents in the upper income brackets face a 6.99% state income tax rate — high enough that deferring growth inside a MYGA produces a real after-tax advantage over a taxable CD. On a $200,000 MYGA earning 5.00%, the first-year interest is $10,000. In a taxable CD at the same rate, a Connecticut resident at the 6.99% bracket owes $699 in state taxes on that $10,000 each year. Over a 5-year term, the cumulative deferred Connecticut state tax on $50,000 in interest is approximately $3,495 — money that stays compounding inside the contract.
Here is a concrete example: David, age 65, lives in Westport and rolls $250,000 from his 401(k) into a 5-year MYGA at 5.10%. At maturity, the account is approximately $321,056 — a $71,056 gain. Connecticut taxes that gain as ordinary income when he withdraws. During the five accumulation years, Connecticut collected zero state tax on the growth. If David had placed that money in a taxable CD at 5.00%, he would have owed approximately $699–$875 per year in Connecticut taxes, totaling $3,495–$4,375 over five years. The MYGA deferred all of it.
Connecticut fully exempts Social Security from state income tax for residents with adjusted gross income below $75,000 (single) or $100,000 (married). Keeping taxable income from annuity withdrawals below those thresholds — by using strategic deferral and controlled withdrawal timing — can preserve the full Social Security exemption.
Connecticut Guaranty Association: How Your Annuity Is Protected
The Connecticut Life and Health Insurance Guaranty Association (CTLHIGA) protects Connecticut policyholders if a licensed insurer becomes insolvent. Coverage is automatic — no enrollment required.
| Coverage Type | Connecticut Protection Limit |
|---|---|
| Annuity present value | $300,000 per person, per insurer |
| Life insurance death benefit | $300,000 per person, per insurer |
| Life insurance cash value | $100,000 per person, per insurer |
| Multiple policies at same insurer | Combined subject to limits above |
For annuity portfolios over $300,000, split across two or more A-rated carriers to keep each position within coverage limits.
Connecticut Life and Health Insurance Guaranty Association
Website: ctlifega.org
How Connecticut Taxes Annuity Income
Connecticut taxes annuity income as ordinary income at graduated rates from 3.0% to 6.99%. Connecticut fully exempts Social Security benefits for single filers with AGI under $75,000 and married filers under $100,000. Connecticut does not offer a blanket retirement income exemption — most annuity withdrawals are taxed at ordinary rates.
| Connecticut Taxable Income (Single) | Connecticut Rate |
|---|---|
| $0 – $10,000 | 3.0% |
| $10,001 – $50,000 | 5.0% |
| $50,001 – $100,000 | 5.5% |
| $100,001 – $200,000 | 6.0% |
| $200,001 – $250,000 | 6.5% |
| $250,001 – $500,000 | 6.9% |
| Over $500,000 | 6.99% |
Connecticut estate tax: Connecticut has a state estate tax. The exemption has been increased and now tracks toward the federal threshold, significantly reducing exposure compared to a few years ago. For most Connecticut estates, the federal exemption effectively governs — but consult a Connecticut estate planning attorney for estates over $10 million or with complex structures. Annuity death benefits paid to named beneficiaries bypass probate.
Connecticut Insurance Department
The Connecticut Insurance Department (CID) licenses and regulates all insurance carriers and agents operating in Connecticut. Verify the carrier and your agent through CID before purchasing an annuity.
| Contact | Details |
|---|---|
| Agency | Connecticut Insurance Department (CID) |
| Consumer services | 860-297-3900 |
| Toll-free | 1-800-203-3447 |
| Website | portal.ct.gov/cid |
| License verification | Connecticut license lookup |
Tips for Buying an Annuity in Connecticut
- Protect your Social Security exemption: Connecticut fully exempts Social Security from state income tax for single filers with AGI under $75,000 (married: $100,000). Using controlled annuity withdrawals to keep total AGI below these thresholds protects the full exemption — a meaningful planning tool for retirees whose Social Security plus annuity income is near those levels.
- At 6.99%, deferral is worth real money: Residents in the upper brackets save nearly $700 per $10,000 of annual interest by deferring inside an annuity vs. a taxable account. Over a 5-year MYGA on $200,000 at 5.00%, the cumulative deferred Connecticut tax is approximately $3,495 — real savings that stays compounding.
- $300,000 guaranty limit gives extra room: Connecticut’s above-average coverage means you can hold slightly more with a single A-rated carrier. Split above $300,000.
- Work with an independent broker: Hartford, Stamford, and the Fairfield County market have highly competitive independent broker communities serving high-net-worth retirees. Independent brokers compare 20+ carriers for your best available rate.
- Use the free-look period: Connecticut requires at least 10 days to review and cancel any annuity contract for a full premium refund.
Frequently Asked Questions
Does Connecticut tax annuity income?
Yes, at graduated rates from 3.0% to 6.99%. Connecticut does not offer a blanket retirement income exemption — most annuity withdrawals are taxed at ordinary state rates. Social Security is fully exempt for single filers with AGI under $75,000 and married filers under $100,000.
What is the best annuity rate in Connecticut today?
The best MYGA rates available to Connecticut residents from A-rated carriers range from approximately 4.50%–5.50% depending on the term as of early 2026. See the live rate table above for current figures updated daily.
How much does the Connecticut Guaranty Association cover?
The Connecticut Life and Health Insurance Guaranty Association protects up to $300,000 in annuity present value per person, per insurance company — above the $250,000 standard in most states. For investments over $300,000, spread across multiple A-rated carriers.
Does Connecticut tax Social Security benefits?
Connecticut fully exempts Social Security benefits for single filers with adjusted gross income below $75,000 and married filers below $100,000. Above those thresholds, a portion of Social Security may be subject to Connecticut income tax. Keeping total AGI below these levels through strategic annuity withdrawal timing can preserve the full exemption.
Does Connecticut have an estate tax?
Connecticut has a state estate tax, but the exemption has been raised to track toward the federal threshold — significantly reducing exposure compared to prior years. For most Connecticut estates below $10 million, the federal exemption effectively governs. Consult a Connecticut estate planning attorney for larger or more complex estates.
What is the free-look period for annuities in Connecticut?
Connecticut requires a minimum 10-day free-look period for annuity contracts. You can return the contract for a full refund of premium within that window.
Who regulates annuities in Connecticut?
The Connecticut Insurance Department (CID) licenses and regulates all carriers and agents. Verify licenses at portal.ct.gov/cid or call 1-800-203-3447.