The other day, our company played host to an insurance company. They were invited in to conduct a talk on insurance and the different policies they have. There was good response from the audience with quite a number of them signing up for various policies. There were even a few taking up an immediate annuity insurance policy.
Like all annuities, an immediate annuity is an agreement between you and a life insurance company. In this agreement, you pay the life insurance company a sum of money. In return, the life insurance company pays you a series of payments.
There is one main difference between an immediate annuity and a deferred annuity. With an immediate annuity, the payments from the life insurance company begin immediately.
If you purchase annuity (retirement) after Jan 2010 you're entitled to tax relief.
ReplyDeleteI certainly need to know more about this insurance thingy. :p
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