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the insured agrees to make a lump-sum payment or series of payments to an insurance company...

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Q: Which of the following is a description of an annuity?
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Related questions

What is variable annuity insurance?

Variable annuity insurance is insurance that has a variable year to year and it can change upon facts that change such as your base description of how you manage your life.


What is a description of an annuity?

the insured agrees to make a lum-sum payment or series of payments to an insurance company


Where are annuity payout calculators found?

Annuity payout calculators can be found from the following resources: "Bankrate", "Calculator", "1728 - website", "Financeformulas", "tsp", "rbcinsurance", "beginnersinvest" to mention a few.


In which of the following are individuals guaranteed by an insurance company to earn a minimum interest rate on their investment?

fixed annuity


Do you pay taxes on income earned in an annuity?

If the annuity is a non qualified tax deferred annuity (an annuity that taxes were paid on the money before they were placed into the annuity) you will pay taxes on any interest growth when it is removed from the annuity. If the annuity is a qualified annuity (no taxes were paid prior to placing the fund into the annuity) you will pay taxes on all withdrawals from the annuity.


What is the primary difference between an annuity and a compound annuity?

difference between an annuity and a compound annuity?Read more: What_is_the_primary_difference_between_an_annuity_and_a_compound_annuity


What gains more interest an ordinary annuity or an annuity due?

ordinary annuity


What is monthly annuity?

The option to get annuity every month is called monthly annuity.


Can you name a beneficiary for an annuity in state of Louisiana?

An annuity will have the following: Owner, Annuitant , Beneficary. Yes the owner of an annuity may name a beneficiary for an annuity, even in the state of louisiana. (I am a native of Louisiana and can confirm that our laws are different). In most situations, the annuitant and the owner are the same. If the annuitant is not the owner, he or she may not have said power of naming the beneficiary.I am a Louisiana Insurance Agent and have handled many annuities in the State of Louisiana.Thanks


What is a period certain annuity and a life annuity?

A period certain annuity guarantees payments for a specific period, such as 10 or 20 years, regardless of the annuitant's lifespan. A life annuity provides payments for the lifetime of the annuitant, ensuring income for as long as they live but ceasing upon their death.


What The differences between ordinary annuity and annuity due?

ordinary annuity we paid at the end of the period annuity due we paid at the begging of the period


What The difference between ordinary annuity and annuity due?

ordinary annuity we paid at the end of the period annuity due we paid at the begging of the period