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Which of these is NOT considered to be a purpose of an annuity


What is the purpose of an annuity?

An annuity is a long-term insurance product that provides guaranteed income. Annuities are a common source of retirement income because they provide a steady stream of payments at regular intervals and because their earnings grow tax-deferred1 until you withdraw funds.

Which of the following is not included in an annuity?

Which of the following is NOT included in an annuity contract? ADɪmp;D rider. ( All of these are included in an annuity contract EXCEPT an Accidental Death ɪmp; Dismemberment (ADɪmp;D) rider.

What are the types of annuities and its purposes?

There are four basic types of annuities to meet your needs: immediate fixed, immediate variable, deferred fixed, and deferred variable annuities. These four types are based on two primary factors: when you want to start receiving payments and how you would like your annuity to grow.

Which of the following is not one of the factors used in classifying an annuity?

All of the following are factors that determine the annuity payout amount, EXCEPT: The annuitant's marital status is not a factor used to determine the amount of annuity payout.

What determines the annuity payments?

The annuitant's life expectancy determines the annuity payments Fixed period settlement options are considered to be a form of a(n) cash value loan variable life policy

What does the insurance company guarantee the annuitant's principal?

The insurance company guarantees the annuitant's principal as well as a guaranteed minimum rate of return, even if the underlying assets underperform the guaranteed rate.) Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? Which type of annuity stops all payments upon the death of the annuitant?

What happens to an annuity if the annuitant dies before receiving payments?

Since this income is guaranteed, if the annuitant dies before receiving payments for the full specified period of time, the annuitant's beneficiary will receive the payments for the remaining number of years. Which of the following annuity payout options makes no additional payments regardless of when the annuitant dies?




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