What Is an Annuity?

An annuity is a financial product designed to help individuals accumulate savings and generate income during retirement. In exchange for a lump-sum payment or a series of contributions, an insurance company provides benefits that may include guaranteed income and tax-deferred growth.

Benefits of Annuities May Include:

• Guaranteed Lifetime Income Options
• Tax-Deferred Growth
• Principal Protection
• Protection from Market Volatility
• Flexible Payout Options
• Death Benefit Features

Types of Annuities

There are several types of annuities available, each designed to meet different financial goals.

Fixed Annuities

Fixed annuities offer a guaranteed interest rate and predictable growth.

Benefits may include:

• Guaranteed Returns
• Principal Protection
• Stable Growth
• Reliable Retirement Planning

Fixed Indexed Annuities

Fixed indexed annuities provide growth potential linked to a market index while protecting against market losses.

Benefits may include:

• Downside Protection
• Growth Potential
• Guaranteed Income Options
• Tax-Deferred Earnings

Immediate Annuities

Immediate annuities begin providing income shortly after a lump-sum investment.

Benefits may include:

• Guaranteed Income Payments
• Income for Life Options
• Retirement Income Security

Common Reasons People Choose Annuities

• Create Guaranteed Retirement Income
• Protect Savings from Market Fluctuations
• Supplement Social Security Benefits
• Preserve Retirement Assets
• Reduce Longevity Risk
• Leave a Financial Legacy to Loved Ones