What is a Variable Annuity?

Variable annuity, "fixed annuity" symmetry. It is one of the types of annuity insurance. After the insured pays the annuity insurance premium, the insurer calculates the amount of annuity payable in the current year based on the asset market price of its accumulated reserve investment during the annuity payment period. . The purpose of setting up variable annuities is to prevent rising prices and currency depreciation from making life difficult for annuity recipients. Variable annuities are usually deferred payment methods. ^[1]

Variable annuity

According to the insurance contract, the amount of annuity received by an annuity recipient per

1. Insurers are free to choose investment tools.

2. Provide the possibility of high return rate and own investment risk.

3. Separate accounts for insurance premiums are exempt from creditors' claims from insurance companies.

4. The variable annuity guarantees a minimum death benefit.