An annuity is long-term retirement product that can help protect you against the risk of outliving your assets. It is a contract between you and an insurance company: you receive future income in return for your contributions.
Any earnings on contributions are tax-deferred until they are withdrawn, usually at retirement. You may receive income in a number of ways, including payments that will last for as long as you live. Annuities can be a valuable addition to your retirement plan.
Annuities may help you:
- Receive retirement income payments for as long as you live
- Protect beneficiaries with a death benefit
- Diversify your investments
- Provide an opportunity for growth on a tax-deferred basis
- Avoid outliving your assets
| Type | Key Features |
|---|---|
| Fixed Annuity | Safety, stability and guarantees
|
| Index Annuity | Safety, growth potential and guarantees
|
| Immediate Annuity | Regular income now and for life
|
| Variable Annuity | Growth potential from investmenet portfolios
|