1.) An annuity is an insurance product designed to provide consumers with guaranteed income for life.

2.) There are two kinds of Annuities basically: (a.)Immediate and (b.) Deferred.


3.) Annuities are products that provide a fixed income stream. They are highly customizable and can offer tax advantages, payment periods tailored to your needs, protection against losing your initial investment and options to transfer money to your beneficiaries. Consumers often use annuities to guarantee income for life and to help fund retirement.

4.) Annuities can be optimized for income or long-term growth, but they are not short-term investment strategies. These products appeal to people whose objectives include long-term financial security, retirement income, diversification and principal preservation.

5.) An annuity is a customizable contract issued by an insurance company that converts an investor’s premiums into a guaranteed fixed income stream.
The type of annuity you purchase determines your future annuity payments.

6.) The primary benefits of buying an annuity include principal protection, the potential for guaranteed lifetime income and the option to leave money to your beneficiaries. Some annuities may also be optimized to help pay for long-term care.


7.) More specifically, an annuity contract is a legally binding, written agreement between you and the insurance company that issues the contract. This contract transfers your longevity risk — the risk of you outliving your savings — to the insurance company. In exchange, you pay premiums as outlined in the contract.

8.) Annuities also work by converting a lump-sum premium into a stream of income that a person can’t outlive. Many retirees need more than Social Security and investment savings to provide for their daily needs.

9.) Annuities are designed to supply this income through a process of accumulation and annuitization or, in the case of immediate annuities, lifetime payments guaranteed by the insurance company that begin within a month of purchase — no accumulation phase necessary.

10.) In essence, when you buy a deferred annuity, you pay a premium to the insurance company. That initial investment will grow tax-deferred throughout the accumulation phase, typically anywhere from 2 to 35years, based on the terms of your contract. Once the annuitization, or distribution, phase begins — again, based on the terms of your contract — you will start receiving regular payments.

11.) Annuity contracts transfer all the risk of a down market to the insurance company. This means you, the annuity owner, are protected from market risk and longevity risk, that is, the risk of outliving your money.


Get an Annuity today! Secure your future! And Protect your Children.


Chat me for further questions and professional guidance.

Eyeyeh Benjamin
Retirement Expert
080-388-2193-5