annuities
what happens to cash value of a market value adjusted annuity if it is surrendered prior to the end of the stated guarantee period?
it is subject to market value adjustments
the contractual rights which allow the owner of a deferred annuity to surrender the cash value several years before the annuity dates are called
nonforfeiture options
which of the following would most likely purchase an immediate annuity
retiree having a lump sum to invest
the authority to change the beneficiary in an individual annuity lies with
the owner
The owner's cost basis for a non-qualified deferred annuity is typically the same as the
total premiums paid
what is the tax treatment of benefit payments for a non-qualified annuity
benefit payments are always taxable
When a sum of money undergoes capital liquidation, that sum will
decrease in size
surrender charge
a back-end load on a deferred annuity that is cancelled in the early years
what co-annuitants listed below receive the largest monthly benefit payments in joint and 100% survivor annuity?
ages 71-73
during an annuity's liquidation phase, the annuitant normally
receives benefit payments at regular intervals
what does a fixed life annuity offer protect against?
savings depletions due to longevity
under a deferred annuity, which contract feature initially charges a 5-10% fee that eventually reduces to 0 after a stated period of time?
surrender charge
the exclusion ratio determines
the amount of an annuity payment subject to income tax
when do the owner's contractual rights begin under an individual annuity contract?
time of purchase