Fixed Annuities

Deferred Fixed Annuity

With a deferred fixed annuity, you receive a guaranteed amount of interest which accumulates inside of the annuity contract. The interest is tax deferred, so no income tax is paid until you take a withdrawal.

Most deferred fixed annuities have a feature which allows you to access up to 10% of the contract value each year without having to pay the surrender charge.

Immediate Fixed Annuity

With an immediate fixed annuity, you exchange your lump sum of money for a guaranteed stream of income from the insurance company. Once fixed annuity payments begin, they do not change, which means they will not increase with inflation.

Once you choose to annuitize your contract, which means you trade in your lump sum for a guaranteed stream of income, you will have to choose the term of your payment.