What Is An Annuity? | F&G Annuities

Annuities 101:

What
is an
annuity
?

An annuity is a long-term retirement tool that can be a key part of your financial strategy. Generally speaking, it can provide scheduled income payments for retirement.

An annuity helps you plan for your retirement by:

  • Building your retirement nest egg
  • Diversifying your retirement assets
  • Guaranteeing income for your lifetime
  • Giving you security for unexpected life events

With any annuity, you pay a premium to an insurance company (think of it as your principal), and the company commits to an annuity contract with unique benefits to you.

Below we explore the different types of annuities and premiums from which you can choose.

Annuity Types


Fixed Indexed Annuities

A fixed indexed annuity provides the potential to earn interest linked to the return of an index.

Fixed Annuities

A fixed annuity will return your principal and a certain guaranteed return over a specific period of time.

Immediate Annuities

An immediate annuity pays a stream of income immediately after it’s purchased or for a set period later.


Premium Types


Single Premium

You give the insurance carrier one lump sum.

Modified Single Premium

You make premium payments during the first contract year.

Flexible Premium

You can make multiple premium payments.

F&G Annuities

We all worry about maximizing our retirement income,
preserving our savings, and leaving a financial legacy.

F&G has solutions for you.

Immediate Annuities

An immediate annuity pays a stream of income immediately after it's purchased or for a set period later. A person who has already retired may find this a useful way to safely increase spending to cover daily living expenses.

Multi-Year Guaranteed Annuities

A multi-year guaranteed annuity is a single-premium fixed rate deferred annuity. You make one lump-sum investment at a guaranteed rate for a specified term. The declared interest rate, as shown in your annuity, will be credited to your account value during the initial guarantee period.
If you elect to continue for an additional term, a new rate will be declared.

Talk to a Financial & Insurance professional

We’ll collaborate, co-create and act as partners in your prosperity.

I'm Ready
18-1250