Life annuities are about planning. If you have not saved or been able to save in an RRSP or otherwise, you will need to make the most out of what money you have been able to gather together.
A life annuity will give you a lifetime income and this annuity article correctly points out that there are several elements that you need to consider.But perhaps the most important reason for buying a life annuity is your own feeling of comfort. If you’re nervous about the stock market, mutual funds and low interest rates, you need to use your cash and your age together to get yourself the best possible life guaranteed income in a life annuity.