Single life annuity

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Single life annuity

An annuity covering one person. A straight life annuity provides payments until death, while a life annuity with a guaranteed period provides payments until death or continues payments to a beneficiary for a guaranteed term, such as ten years.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Single Life Annuity

An annuity that only provides payments to one person. That is, payments cease when the annuitant dies. This contrasts with other annuities that make a lump sum payment to the annuitant's survivors, or continue payments to them for a certain number of years.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
Many men buy single life annuities that don't provide for their widow.
9 Many men buy single life annuities (lifetime pension incomes) that don't provide for their widow.
In defined contribution pensions (where retirement incomes are based on how the pension fund performs over the years of saving), past rules encouraged men to buy only single life annuities when they were shopping around for the best annuity deal.
(Joint annuities have lower payouts than single life annuities.)
That, in turn, tends to lead them toward choosing single life annuities (with larger payouts), rather than joint and survivor.
Although a joint life annuity can be structured to perfectly replicate any combination of single life annuities by adjusting the survivorship ratios, the reverse is not true.
A couple desiring this income flow could buy two single life annuities and use some of the proceeds from each annuity to purchase life insurance.
A former government adviser has warned that women, who typically live longer than their husbands, are being left with nothing by so-called single life annuities, which don't pay out to a surviving partner.
Single life annuities are the most popular choice and this means millions of pensioners risk leaving their partner and dependents penniless as this income stops immediately upon death of the policyholder.
The class of procedures considered are multiplicative adjustments to actuarially determined benefit levels for single life annuities. The adjustment factors are scalars |a.sub.1~ for men and |a.sub.f~ for women that are constrained to maintain constant total pension compensation paid by the plan.
Single life annuities stop paying upon death of the policy holder, whereas joint life annuities continue to be paid to a partner.
Single life annuities account for 61% of all annuities sold.