Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Life Health > Annuities

Longevity annuities

By Staff Writer

X
Your article was successfully shared with the contacts you provided.

Some insurers are offering a twist on the traditional immediate annuity that should help retirees protect themselves from outliving their savings, according to Walter Updegrave of Money Magazine. Advanced-life delayed annuities, or longevity annuities, allow investors to buy annuities for a much smaller amount and begin collecting income many years in the future, rather than paying a large sum up front and collecting right away.

Updegrave warns interested consumers to be aware of which product they choose. Annuity owners must have enough income saved to live on until the annuity begins paying out. Older owners receive higher payouts, but if they die before the payout date, that money is lost. Some insurers offer a death benefit or refund, but these options cost more for the same payout.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.