IamDozzy
Active member
I guess by now we should have known the meaning of annuity in Insurance. Annuity in Insurance is when a lump amount of money or installments is paid to an insurance company for later payments at a specified date usually during retirement. There are different types of Annuity in insurance. They include;
1. Fixed Annuity
These are annuity plans offered by insurance companies with a fixed interest. In essence they pay a particular rate of interest that is guaranteed.
2. Variable Annuity
These are annuity plans offered by insurance companies that allow an investor choose from a variety of mutual funds . It basically allows the investor to receive large amount of money if the investments does well or small amount of money if the Investment does badly.
3. Deferred Annuity
These is a type of annuity in which payments are delayed to a later date to allow for a larger stream of income from the investor.
1. Fixed Annuity
These are annuity plans offered by insurance companies with a fixed interest. In essence they pay a particular rate of interest that is guaranteed.
2. Variable Annuity
These are annuity plans offered by insurance companies that allow an investor choose from a variety of mutual funds . It basically allows the investor to receive large amount of money if the investments does well or small amount of money if the Investment does badly.
3. Deferred Annuity
These is a type of annuity in which payments are delayed to a later date to allow for a larger stream of income from the investor.