In the right situation, annuities have a lot to offer individuals who look toward saving for retirement. This life insurance product typically provides death and living benefits to policyholders and their beneficiaries. These benefits include long-term care riders, monthly income, principal protection, and minimum growth rates, to name a few. For example, an annuity serves well in specific situations, especially in the case of a policyholder looking for a way to leave money to a child, fearing they may squander a lump sum payment. Unfortunately, an annuity has some downsides, including commissions, higher fees, and more. Ultimately, these negative points impact the rate of return in a significant fashion, impose high early surrender charges, and more. When a policyholder is sold on unrealistic expectations, they may be disappointed in the outcome overall. Fixed Index Annuities are an example of complicated products used to inherently tie any potential gains to the market index. You have to realize the limits set on the capture of gain, alongside realistic expectations of growth potential. Ultimately, this will go to great lengths in determining whether or not these long-term products are well-suited to your situation. At face value, an annuity is neither bad nor good. This insurance product serves its purpose alongside any other financial product. Regardless of the financial product you choose, selecting a financial institution that puts your interests first is crucial. This is especially true when determining whether any given product is most appropriate.
Contact Information:
Email: [email protected]
Phone: 4238070050
Menu
Menu
