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Each annuity is a contract between you and an insurance company: You provide the company money now, and they promise to pay you a steady income later, potentially for the rest of your life.
Annuity regulation is a patchwork of state and federal oversight, from state insurance departments monitoring agents and brokers to federal agencies regulating variable annuities.
An annuity can help you save for retirement and has favorable tax benefits. Experts caution that annuities can be complex and risky, and that they can have high commission fees and may be ...
In the United States, an annuity is a financial product which offers tax-deferred growth and which usually offers benefits such as an income for life. Typically these are offered as structured products that each state approves and regulates in which case they are designed using a mortality table and mainly guaranteed by a life insurer.
In a standard termination, all accrued benefits under the plan become 100% vested. The plan must purchase annuity contracts for all participants. If the plan permits the payment of lump sums, employees may be offered the choice of a lump sum payment or an annuity.
A life annuity is an annuity, or series of payments at fixed intervals, paid while the purchaser (or annuitant) is alive.The majority of life annuities are insurance products sold or issued by life insurance companies however substantial case law indicates that annuity products are not necessarily insurance products.
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