Secure your retirement with products that provide steady, predictable payouts — no matter how long you live.
An annuity is a contract between you and an insurance company designed to provide a steady income stream during retirement. You make a lump-sum payment or a series of payments to the insurance company, and in return, they agree to make regular payments to you — either starting immediately or at a future date.
Think of an annuity as a personal pension. While traditional pensions have become rare, annuities let you create your own guaranteed income that you can't outlive. For many retirees, the peace of mind that comes from knowing you'll have a paycheck for life is invaluable.
A fixed annuity guarantees a minimum interest rate and provides predictable, stable payments. Your principal is protected and grows at a guaranteed rate set by the insurance company. This is the most conservative option — ideal for those who want safety and predictability above all else.
Best for: Conservative investors, those seeking guaranteed income, principal protection.
Indexed (or fixed-indexed) annuities offer a blend of safety and growth potential. Your return is linked to a market index like the S&P 500, but your principal is protected from market downturns. You get upside participation when the market performs well, with a guaranteed minimum return when it doesn't.
Best for: Those wanting market-linked growth with downside protection, balanced investors.
Long-term care annuities combine guaranteed retirement income with built-in long-term care benefits. If you need care, the annuity can accelerate or increase your payouts to cover nursing home, assisted living, or home health care expenses. If you never need LTC, the income continues as usual — so you don't lose your premium to a use-it-or-lose-it policy.
Best for: Those wanting to self-insure for long-term care while still generating retirement income, avoiding expensive stand-alone LTC insurance premiums.
Annuities are uniquely suited to solve the biggest fear most retirees face: outliving their savings. Here's how they work in retirement:
Many financial professionals recommend combining annuities and life insurance as part of a comprehensive retirement strategy. While annuities provide guaranteed lifetime income, life insurance provides a tax-free death benefit to your beneficiaries. Together, they create a complete financial safety net — protecting you during retirement and protecting your loved ones when you're gone.