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A life annuity is an investment which converts the lump sum of your RRSP's or non registered funds into an income for the rest of your life.
When it comes time to consider buying a life annuity, you have a number of choices.
Retirement Income Planning
Most companies have a long history of providing a range of options to secure your income in retirement. You can select the most competitive ways to make the best use of your pension funds, whether registered or non registered.
Factors That Influence Life Annuities
Interest Rates
- Life Annuities are influenced by interest rates and other market factors.
Mortality
- Your life expectancy and that of your spouse affects the life annuity income. The older you are the higher the income you will receive.
Life Annuity Options
- The options you choose from the start will affect your life annuity income. Choosing a longer guarantee period will reduce the amount of income.
Gender
- The starting income is higher for a man than a woman as, on average, women live longer.
LIFE ANNUITY OPTIONS
Single life annuity
- Pays you an income for the rest of your life.
Joint Life Annuity
- Pays you an income for your lifetime. Upon death, your surviving partner will continue to receive an income at a level agreed upon.
The level is a percentage of your income, normally 100%, rarely another figure.
The partner's life annuity pension will continue for their lifetime.
Level Income
- Pays you a fixed income, which is agreed upon at issue.
Increasing Income
- Pays you a life annuity income that increases each year by a fixed percentage.
Guarantee Period
- Your life annuity income will continue to the beneficiary of your estate on your death if you die within the guarantee period.
No Guarantee Period
- Your life annuity income will cease on death unless a joint life plan, where the income will cease at the second death.
Payment Frequency
- Monthly or Annually
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What are ING variable annuities?
ING variable annuities are annuities offered by the company ING which have variable rates of return. This is in contrast to fixed annuities which offer some sort of guaranteed rate of return over the life of the contract.
Are annuities with Life Insurance Companies covered by FDIC?
No. Each State covers annuities and life insurance. It's actually a lot better than the FDIC.
What are some companies that help pay for fixed annuities?
Companies such as Prudential, Met Life, Fidelity, and Merrill Edge all pay fixed annuities. Fixed annuities are typically utilized by those who are retired or are about to retire.
What insurance license in Arizona is needed to sell annuities?
To the best of my knowledge, as in most states, a life license is required to sell annuities in Arizona. Good luck.
What companies offer fixed annuities?
Fixed annuities are offered by many companies, the top companies are Metlife, ING, Mass Mutual, Prudential, Pacific Life an John Hancock Annuities. It is best to contact at least three companies to compare rates and types of annuities before committing to one company.
Can you sell fixed annuities yourself?
You can sell fixed annuities if you have a life insurance license.
Where can someone find detailed information to have annuities explained to them?
One can find detailed information on annuities explained to them through a life insurance representative. MetLife has extensive information on annuities as does Sun Life Insurance.
Where can you find more information about life annuities?
You can find information about Life Annuities by contacting your local bank representative or your local financial advisor.
What are variable annuities?
ING variable annuities are annuities offered by the company ING which have variable rates of return. This is in contrast to fixed annuities which offer some sort of guaranteed rate of return over the life of the contract.
Can you sell annuities with a life insurance license?
Depending on your license you may be able to sell fixed annuities. Variable annuities require Series-7 license however
Where might one find information regarding life insurance annuities?
One might find information regarding life insurance annuities online at various websites. One can find information about life insurance annuities at insurance company websites such as Nationwide and MetLife.
What are ING variable annuities?
ING variable annuities are annuities offered by the company ING which have variable rates of return. This is in contrast to fixed annuities which offer some sort of guaranteed rate of return over the life of the contract.
Are annuities with Life Insurance Companies covered by FDIC?
No. Each State covers annuities and life insurance. It's actually a lot better than the FDIC.
Did you acquire a block of annuities from Universe Life Insurance Company?
No I did not.
What is the best way to invest for your future?
Life insurance and annuities.
What are some companies that help pay for fixed annuities?
Companies such as Prudential, Met Life, Fidelity, and Merrill Edge all pay fixed annuities. Fixed annuities are typically utilized by those who are retired or are about to retire.
What are three types of insurance annuities?
Three types of Insurance Annuities are variable annuities, fixed annuities and indexed annuities.
