Answered About Annuities
What can annuities provide?
Guaranteed minimum interest rates
No limits on how much you can invest in an annuity, unlike IRAs and 401Ks
Ensured safety net where your account value cannot go below a certain set amount
Are annuities subject to probate?
No, they are not, as there is a named death benefit the annuity can be dispersed without going through probate. The owner of the annuity would decide how they want it distributed, with options including covering the dispersal of premium minus withdrawals or dispersal of the current account value, as well as other options that can be discussed with your financial advisor.
What is a rider on an annuity?
Optional features on annuities are called riders. They provide additional benefits for an additional cost. A rider can be anything from an enhanced death benefit, protection against market inflation or longevity risk, as well as other personalized options.