Unit 9 review
They can be used to create an estate
All of the following are characteristics of annuities except
When the annuitization period starts, additional premium payments can be made
All of the following statements about the annuitization period are correct except
An additional 10% penalty on taxable earnings
If a withdrawal of an annuity is taken before age 59.5, there is
Joint life and survivor option
Susan and Time are married, and they chose an annuity option that would pay one of them for the rest of their life if the other one died. Which of the following is the option that they chose?
1 month
The earliest that a single premium immediate annuity can be paid is
Life with refund
The life-only annuity option is also referred to all of the following except
The accumulation period
The period between the purchase of an annuity and when the benefits begin is called
The annuitization period
The period during which annuity benefits are received is called
Fixed annuities
Which of the following annuities has a value that will never be less than the amount paid into the contract?
Variable annuities
Which of the following annuities requires that the producer have a securities license?
Life-only option
Which of the following annuity payout options pays the highest monthly income?
Annuities
Which of the following is designed to protect a person from running out of money from "living too long?"
The deferred annuity owner must annuitize the contract
Which of the following statement about a deferred annuity is not true?
The total premium paid, minus any withdrawals
With a deferred annuity, the amount paid as the death benefit is the greater of the accumulated value of the annuity or