First, the rate quoted is only for the first year. Second, it may be many years before you can withdraw all your money without a significant penalty. The last 15 years have witnessed a growing number of insurance company failures, many of which occurred after promoting products with higher rates of return than could be obtained elsewhere.
Safety is a relative term.
While it is understandable that investors desire high returns with low risk, they often do not fully understand that these are conflicting objectives. The larger working principle here is that the higher the return desired the greater the risk that must be assumed . Everything has a risk . It is possible you could experience significant delays. The money is yours, but you can t get at it.