The term "annuity" refers to a recurring cash payment made by a financial institution to a depositor of money. Annuities are instruments designed to secure a steady cash flow during a person's retirement and for the remainder of his or her life.
One such annuity program is the 10 year with cash refund. Here, the contract states that a monthly payment is made to the annuitant that is guaranteed for a minimum of 10 years, or for as long as the annuitant lives beyond the 10 years, and should the annuitant die before the guaranteed 10 years, any cash that has not been utilized from the initial deposit is returned to the beneficiaries.
No comments:
Post a Comment