L11 quiz
what occurs during accumulation period of annuity
allows annuity to build on a tax deferred basis
A type of contract, which is considered a savings instrument used for accumulating investment funds for purpose of eventually receiving those through systematic program of withdrawal
annuity
When annuity is considered 'flexible premium' annuity it means the premium payment amount is based on underlying investment of securities affecting amount that must be paid each month
false
Variable annuity
has a separate account
own single premium immediate annuity. how will payments be made
immediately following first premium
Which best describes annuity
it has an obligation that is different to the insurance company for both the accumulation period and liquidation period
When public purchases annuities, attempting to address risk of
outliving money they saved for retirement
An annuity is purchased to assist in retirement planning
true
Flexible-premium deferred annuity allows deferred interest accumulation, assuming money is on deposit with insurance company. There is no further amount required to be contributed and no specific prior of time contributions must be made
true