{"id":1538,"date":"2017-06-23T11:13:14","date_gmt":"2017-06-23T16:13:14","guid":{"rendered":"https:\/\/lifeannuities.com\/blog\/?p=1538"},"modified":"2017-06-23T11:13:14","modified_gmt":"2017-06-23T16:13:14","slug":"5-big-factors-affect-life-annuity-rates","status":"publish","type":"post","link":"https:\/\/lifeannuities.com\/blog\/retirement\/5-big-factors-affect-life-annuity-rates","title":{"rendered":"5 Big Factors That Affect Life Annuity Rates"},"content":{"rendered":"

You’re in the market for a life annuity policy, but you want to ensure you get the best rates possible.<\/p>\n

Although your rates are determined at the time of application, you can use an annuity\u00a0income calculator<\/a> to find out what your approximate\u00a0income might be.<\/p>\n

Annuity rates<\/a> can fluctuate\u00a0depending on various factors.<\/p>\n

So what are the biggest factors? Let’s discuss the 5 biggest factors that affect life annuity rates.<\/p>\n

    \n
  1. Life Expectancy<\/strong><\/li>\n<\/ol>\n

    There are many components that help determine your life expectancy when applying for a life annuity policy.<\/p>\n

    Serious Health Issues<\/strong><\/p>\n

    Like most insurance companies, they want to know if you have serious (especially life-threatening) health issues.<\/p>\n

    Gender<\/strong><\/p>\n

    Women live longer than men<\/a>, so it makes sense that women receive less income from annuity policies, due to a longer life expectancy.<\/p>\n

    Age<\/strong><\/p>\n

    Age will always be a deciding factor. The older you are, the higher the amount of income you’ll receive monthly.<\/p>\n

      \n
    1. Length of The Policy Affects Annuity Rates<\/strong><\/li>\n<\/ol>\n

      It’s your choice how long you receive payments from an annuity\u00a0policy.<\/p>\n

      Basically, the greater amount of years you’re covered, the less money you’ll receive\u00a0monthly. And the shorter amount of years, the larger amount you’ll receive.<\/p>\n

      Plus, you have the option to keep the payments coming after your death. These will be passed onto your children.<\/p>\n

        \n
      1. The Amount Of Payment You Deposit or Transfer<\/strong><\/li>\n<\/ol>\n

        Like many things in life, you get what you pay for.<\/p>\n

        The larger the lump sum you provide initially, the greater the income you’ll get back monthly as a result.
        \n<\/strong><\/p>\n

          \n
        1. Single Or Joint Policy<\/strong><\/li>\n<\/ol>\n

          This factor makes a monumental difference in your annuity rates.<\/p>\n

          There are pros and cons to each option, and it all depends on your unique\u00a0situation.<\/p>\n

          If you have a spouse, you may want to consider a joint policy because\u00a0joint policies will pay out to the last survivor.<\/p>\n

          But if you don’t have children and live alone, the obvious choice would be to buy a single policy. Plus, the monthly payout is larger for single policies.<\/p>\n

            \n
          1. Additional\u00a0Options Added To Policy<\/strong><\/li>\n<\/ol>\n

            Normally, annuity payments are fixed, but if you are concerned about inflation, you may choose to have annuity payments indexed. You can choose to have income increase each year by a fixed percentage to help offset the impact of inflation.
            \n<\/strong><\/p>\n

            Conclusion<\/strong><\/p>\n

            Annuity policy plans are an excellent retirement option that is often overlooked.<\/p>\n

            Annuity policies provide flexibility and peace of mind knowing that you\u00a0are covered financially for the rest of your life.<\/p>\n

            What more could you ask for?<\/p>\n

            If you have any questions regarding an annuity plan, feel free to reach out and contact us<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

            You’re in the market for a life annuity policy, but you want to ensure you get the best rates possible.[…]<\/p>\n","protected":false},"author":1,"featured_media":1539,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1538","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-retirement"],"_links":{"self":[{"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/posts\/1538","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/comments?post=1538"}],"version-history":[{"count":2,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/posts\/1538\/revisions"}],"predecessor-version":[{"id":1541,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/posts\/1538\/revisions\/1541"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/media\/1539"}],"wp:attachment":[{"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/media?parent=1538"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/categories?post=1538"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lifeannuities.com\/blog\/wp-json\/wp\/v2\/tags?post=1538"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}