What is an annuity?

Annuities are a long term insurance product in which the policy provides income payments to the insured.

Contact our Annuity Center at 800-996-9631 Ext. 331

Fixed vs. Variable Annuity

A fixed annuity delivers a fixed rate of return—or a guaranteed income for a specified period of time. During that time, their investment is guaranteed to grow at the agreed-upon rate.

A variable annuity invests annuity funds for a possibly higher—or lower—rate of return, based on market fluctuations.

A third option—an indexed annuity—offers something of a middle path: performance that’s benchmarked to a market index, such as the S&P 500. Generally, indexed annuities cannot lose value, even in a down market.

Deferred vs. immediate annuity

A deferred annuity accumulates annuity value on a tax-advantaged basis over time, say during your working years, and then convert the value to a guaranteed income stream at a specific time in the future.

A single premium immediate annuity (SPIA) is an annuity that is purchased with a single lump-sum payment and can begin generating income immediately. It skips the accumulation phase altogether.


Contact our Annuity Center at
800-996-9631 Ext. 331