ANNUITIES WITH LIVING BENEFITS
An annuity is a contract between you and an insurance company to cover specific goals, such as principal protection, lifetime income, legacy planning or long-term care costs. An annuity works by transferring risk from the owner, called the annuitant, to the insurance company. Like other types of insurance, you pay the annuity company premiums to bear this risk. Premiums can be a single lump sum or a series of payments, depending on the type of annuity. The premium-paying period is known as the accumulation phase.
Unlike other types of insurance, you don't pay annuity premiums indefinitely. Eventually, you stop paying the annuity and the annuity starts paying you. When this happens, your contract is said to enter the payout phase.
There's great flexibility in how annuity payments are handled. Annuities can be structured to trigger payments for a fixed number of years to you or your heirs, for your lifetime, until you and your spouse have passed away, or a combination of both lifetime income with a guaranteed "period certain" payout. A "life with period certain annuity" pays you income for life, but if you die during a specified time frame (the period certain years), the annuity will pay your beneficiary the remainder of your payments for the contractual period you chose at the time of application. First Financial Solutions Group has access to all carriers so that we may give you different, unbiased annuity solutions.
The living benefit – as the name suggests – is intended to guarantee the benefit provided to the annuitant and toward that end, usually offers guaranteed protection of the principal investment, the annuity payments, and/or guarantees a minimum income over a specified period to the annuitant and beneficiary.
DOES YOUR EXISTING FIXED, INDEX OR VARIABLE ANNUITY HAVE THE FOLLOWING NEWLY AVAILABLE FEATURES?
- Actively managed indexes - Death benefit riders - Income riders for home care, assisted living & nursing home
We see clients with inferior policies all the time:
People in the wrong policies for their situation
People not receiving available discounts
People not understanding what is protected and what isn’t
People that have never had their coverage reviewed