I know someone who had $1,200,000 in this type product with a $60,000/yr guarantee for life based on 5% withdrawals.
Now, after the 2008 meltdown, his account is worth only $800,000 in cash, but his shadow account guarantee is the same.
His friends all complain that they wished they had bought the guarantee rather than invest blindly with a buy and hold and hope long only strategy.