Fixed Annuity

A fixed annuity provides a guaranteed rate of interest during the accumulation period and a guaranteed (“fixed”) amount of income when the contract is annuitized. With a fixed annuity, the insurance company is responsible for investing the premium payments and therefore assumes investment risk. The insurance company is obligated to provide guaranteed annuity payments regardless of whether their investments have generated an adequate rate of return. With a fixed annuity: 1) the money can go in as a single premium payment or a series of payments; 2) the money is invested at a fixed or guaranteed rate, and; 3) payments are at a fixed rate and can begin immediately or at some future date.

More Annuity Details

META Tag Title: 
Annuity Digest Buying Guide: More Annuity Details

Inflation and Deflation

META Tag Title: 
Annuity Digest Buying Guide: Inflation, Deflation and Annuities

All annuities involve payments from an insurance company to you.  With some annuities the payments are fixed, and with other annuities the payments are variable.  Assuming that you purchase an annuity from an insurance company in the United States, you will receive payments in U.S. dollars.

Annuity Fees and Expenses

META Tag Title: 
Annuity Digest Buying Guide: Annuity Fees and Expenses

Expenses should be a top priority for any financial services consumer.  Many people have been conditioned to be aware of expenses when it comes to investment products.  Indexed-bases investment management companies such as


Full List of Annuity Types

META Tag Title: 
Annuity Digest Buying Guide: Comprehensive List of Annuity Types

The full menu or “laundry list” of

Types of Annuities

META Tag Title: 
Annuity Digest Buying Guide: Types of Annuities

The tough thing about classifying annuities is that the three common features described in the previous chapter can be mixed and matched to create a bewildering array of options.