Southwest pilots union picks 401(k) annuity platform
By Robert Steyer | September 19, 2012 3:30 pm
Southwest Airlines Pilots' Association, Dallas, will offer to the 6,500 participants in its $2.4 billion 401(k) plan an annuity platform developed by Hueler Cos., confirmed John Nordin, a pilot and chairman of the association's 401(k) committee.
The Hueler Income Solutions platform offers participants a choice from among many insurers providing annuities, Mr. Nordin said.
In an interview, Mr. Nordin said the out-of-plan platform is the 401(k) plan's first annuity option. The association also looked at products that could have been embedded with the 401(k) plan, but “the costs were too high” and these in-plan products were “too complex,” Mr. Nordin said.
The platform will be offered to participants “for use with both IRA rollover and non-qualified savings,” according to a joint news release issued by Hueler and the association. “The platform will include fixed deferred, single premium immediate, and longevity annuity offerings.”