Relay Designers Create Cash-Back Annuity Arrangement

Group One Thousand One LLC — the parent of Delaware Life — has come up with a new annuity product idea: an annuity that’s kind of fun.

Group1001 has developed an immediate annuity that will pay the annuity holders cash back, just as a credit card or debit card might.

(Related: Delaware Life Adds Variable Annuity With Optional Benefits Guarantee Rider)

The company has made that possible by combining the immediate annuity with a prepaid debit card account.

An immediate annuity, or income annuity, is a product that pays a stream of cash to the annuity holder immediately. A consumer can use an immediate annuity to fund a wide variety of known income needs, such as the need for retirement income, payments for long-term care services, or payments for upkeep of real estate.