life annuity

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Related to Lifetime Annuities: immediate annuity

Life annuity

An annuity that pays a fixed amount for the lifetime of the annuitant.

Life Annuity

A fixed or variable annuity that pays a certain monthly or (rarely) annual sum for life of the annuitant. Generally speaking, an annuitant buys a life annuity and makes installment payments for it throughout his/her working life. Following retirement, the annuitant begins to receive the benefit, the amount of which may or may not be fixed in the annuity contract. A life annuity is designed to provide a stable income for the annuitant in retirement. See also: Income annuity, Pension, IRA, 401(k).

life annuity

A stream of payments intended to continue during the annuitant's lifetime and to cease automatically at the annuitant's death.
References in periodicals archive ?
Those who live longer on lifetime annuities will also receive more income over their lifetimes and, all else being equal, they'll end up with higher legacy amounts.
life insurers that have actually sold a CA type product; however, a large number of insurers are looking to potentially enter this market given recent policy statements from the Treasury and Labor departments encouraging lifetime annuities.
Improving the tax treatment of deferred lifetime annuities to be consistent with other retirement income streams will allow Australian retirees to deal more effectively with longevity risk says global professional services company Towers Watson.
Andrew Boal, managing director for Towers Watson in Australia says the federal government announcement that it will encourage the take-up of deferred lifetime annuities (DLAs) represents a watershed moment for the Australian superannuation industry.
With lifetime annuities, you have certainty of income but you remove the flexibility of adapting your retirement to your changing circumstances.
In the "red corner" we have the historic champions, the big insurance companies who have dominated the retirement income market for many years through sales of lifetime annuities.
This is particularly important at a time when the income paid by lifetime annuities is at its lowest for many decades and once bought, there is no escape.
Many retirement policy experts have been promoting use of inflation-indexed, fixed, lifetime annuities to help boomers fund retirement expenses.
Certain retirement benefits and lifetime annuities have historically been taxed differently based on the gender of the recipient.