We have marketed what we call a no-load annuity for about three years.

• It is in fact no-load if it survives until retirement when it is converted to a monthly income form.
• There is, however, a 15% commission paid in the first year except at older ages where it is less.
• We have the chargeback to the agent and we also have a 10% surrender charge at the beginning of the contract.
• If the annuitant keeps that annuity to do what it was designed to do, it is truly no-load, but if it is an early surrender cash out then it does what we intended it to do.

--  Allen D. Booth

1977 - SOA - Effective Product Management, Society of Actuaries - 12p