A new single-premium immediate annuity is designed to meet survivorship needs by having two annuitants.
Issued by Presidential Life Insurance Company, Nyack, N.Y., the policy provides that the second annuitant receives the full payment for a limited payment period from 5 to 20 years (similar to a period certain annuity). This period is elected at the time of application.
The second annuitant must survive this entire period in order to receive all the payments.
Called the Income & Legacy Annuity, the policy is a limited payment survivorship contract, says Gary Mettler, vice president of Presidential.
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If the second annuitant predeceases the first annuitant, the first annuitant continues to receive a lifetime annuity at the same payment rate, the company says.