Annuity Options 9
Description
Considerations
Single Life
• Guaranteed income for as long as the annuitant lives.
• This option provides the highest possible lifetime payment. • Payments will end once the annuitant passes away. • The beneficiary will receive any remaining payments if the annuitant passes away during the period you select. • A longer period certain guarantee will result in a lower payment than a shorter period certain guarantee. • Payments cease once both of the annuitants pass away. • Payments that guarantee two lives will be less than those based on one of those lives. • Payments that guarantee two lives will be less than those based on a single life. • If both annuitants pass away after the end of the period certain, the beneficiary will not be entitled to any payments.
Single Life with Period Certain
• Guaranteed income for as long as the annuitant lives, with payments that continue for the remainder of the period certain, if any, upon the annuitant's death if it occurs within the period certain. • You can choose a period certain of 10 to 30 years 10 to provide for a beneficiary.
Joint and Last Survivor
• Guaranteed income for as long as the annuitant and the joint annuitant live.
Joint and Last Survivor with Period Certain
• Guaranteed income for as long as the annuitant and the joint annuitant live. Payments continue to a beneficiary for the remainder of the period certain upon the death of the last surviving annuitant if it occurs within the period certain. • You can choose to have a period certain of 10 to 30 years 10 to provide for a beneficiary. • Guaranteed Income for the specific time period you choose — from 10 to 30 years. • If the annuitant passes away during the period you selected, the beneficiary will be entitled to any remaining payments.
Period Certain
• You could run out of money if you outlive the period you selected. 10
When the beneficiary is referred to above, please note that the surviving owner will be considered the primary beneficiary and any other will be considered contingent. 9 For qualified contracts, upon the death of the owner (annuitant if the contract is held as a Custodial IRA), we may shorten the remaining payment period in order to ensure that payments do not continue beyond the 10 year post-death distribution period provided under IRC section 401(a)(9), or beyond the beneficiary’s life or life expectancy for certain classes of beneficiaries, such as a spouse or an individual who is not more than 10 years younger than the decedent. 10 The number of years available under options that include a period certain may vary by state.
15
Made with FlippingBook - Share PDF online