What Are Annuities?
At Gulf Coast Educators Insurance we are available to guide you on the benefits of investing in annuities. An annuity is a form of investment that pays out a stream of payments to an individual upon maturity. Annuities can serve as a steady cash flow for individuals during their retirement years.
Annuities can provide two different payment options 1) a lump sum or 2) periodic payments at specific intervals
There are different annuity options: 1) Fixed annuities and 2) Indexed annuities
With a fixed annuity it guarantees you will make a stated interest rate off your investment. Fixed annuities are not tied to the stock market so it’s a guaranteed, risk free type of investment. Within a fixed annuity investors may opt for an immediate or a deferred annuity. Usually with a fixed annuity you can withdraw up to 10% per year without having to pay an early withdrawal penalty. Our life insurance agents are available to review in greater detail how a fixed annuity works and can guide you on an immediate or deferred option.
An indexed annuity can offer returns based on a specified equity-based index. With an indexed annuity the stock index plays a part in the performance of this particular type of annuity however there is limited risk with this. This type of annuity does have some risk associated. We invite you to call our insurance offices and schedule an appointment to discuss this form of investment in greater detail.
The insurance agents at Gulf Coast Educators Insurance look forward to helping you learn more about the annuity options available. Please contact us at any of our three convenient locations.