Annuities
Annuities may be purchased with the following payment method EXCEPT
deferred
An annuity that guarantees a minimum rate of return is known as a/an
fixed annuity
The time period during which an annuitant contributes to an annuity is called
the accumulation period
Who bears the investment risk in a fixed annuity?
the insurance company
Which of the following statements is TRUE about annuities?
they can provide a lifetime income
Annuities can be used fir all of the following reasons EXCEPT
to create an estate
When an annuity is written, who's life expectancy is taken into consideration?
Annuitant
An individual inherited a large sum of money at age 40 and wanted to us it to provide a guaranteed income after his retirement at age 60. Which of the following types of annuities would best meet this need?
Deferred
Which type of annuity settlements stops when the annuitant dies?
Life annuity
An annuity begins payments to the annuitant one month after it Is purchased. What type is it?
Single premium immediate annuity