GK
INSURANCE AWARENESS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Salvage
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Schedule
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Unbundled Contracts
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Retrospective Rating
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Detailed explanation-1: -A deferred annuity is a contract with an insurance company that promises to pay the owner a regular income, or a lump sum, at some future date. Investors often use deferred annuities to supplement their other retirement income, such as Social Security.
Detailed explanation-2: -Under a typical nonparticipating annuity, the insurance company receives a single premium payment, assumes the. obligation to make all benefit payments under the terminated plan, and bears all the risk and enjoys all the benefits of. investment and actuarial experience under the arrangement.
Detailed explanation-3: -Understanding Annuities An annuity that begins paying out immediately is referred to as an immediate annuity, while one that starts at a predetermined date in the future is called a deferred annuity. The duration of the disbursements can also vary.