An annuity is a contract between an individual and a 3rd party, usually an insurance company, in which the individual deposits a certain amount of money with the 3rd party in return for payments of a specified amount for a given period of time, which may be a number of years or for life.
The different types of Annuities are:
- SPIA: Single Premium Immediate
- SPDA: Single Premium Deferred
- SPDI: Single Premium Deferred Income
- QLAC: Qualified Longevity Annuity Contract
Representative Companies utilized for Annuities are: