Annuity
A regular periodic payment made by an insurance company to a policyholder for a specified period of time. |
Similar financial terms
Single-premium deferred annuityAn insurance policy bought by the sponsor of a pension plan for a single premium. In return, the insurance company agrees to make lifelong payments to the employee (the policyholder) when that employee retires.
RAMs (Reverse-annuity mortgages)
Mortgages in which the bank makes a loan for an amount equal to a percentage of the appraisal value of the home. The loan is then paid to the homeowner in the form of an annuity.
Normal annuity form
The manner in which retirement benefits are paid out.
