A list of ten risks faced by retirees includes the obvious such as stock market risk, but also includes issues that may not be top-of-mind for many retirees such as inflation risk and interest rate risk.
Longevity risk is at the top of the list. Immediate annuities and the longevity annuity are mentioned as a potential solutions to the risk of outliving one's assets:
"Given that, what's the best way to manage that risk? Social Security, traditional pensions and payout annuities all promise to pay an individual a specified amount of income for life, according to the SOA. But some newer products can help protect retirees against outliving their assets as well. Those include a reverse mortgage; "longevity insurance," which is an annuity that does not start paying benefits until an advanced age such as 85..."
Source: Marketwatch
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