What are annuities

At Gulf Coast Educators Insurance, our financial professionals are available to guide you on the possible benefits of investing in annuities. An annuity is a form of investment that pays out a stream of payments to an individual upon maturity. Annuities can serve as a steady cash flow for individuals during their retirement years.

Annuities can provide two different payment options 1) a lump sum or 2) periodic payments at specific intervals

There are different annuity options: 1) Fixed annuities and 2) Indexed annuities

Fixed Annuities

With fixed annuity, it guarantees you will make a stated interest rate off your investment. Fixed annuities are not tied to the stock market so it’s a guaranteed, low-risk type of investment. Within a fixed annuity investors may opt for an immediate or a deferred annuity. Usually, with a fixed annuity you can withdraw up to 10% per year without having to pay an early withdrawal penalty. Our financial professionals are available to review in greater detail how a fixed annuity works and can guide you on an immediate or deferred option.

In reference to general account obligations and guarantees, such as is present with fixed annuities, the ability for the insurance company to meet these obligations to policyholders are subject to sufficient capital, liquidity, cash flow and other resources of the insurance company.

Indexed Annuities

An indexed annuity can offer returns based on a specified equity-based index. With an indexed annuity the stock index plays a part in the performance of this particular type of annuity however there is a limited risk with this. This type of annuity does have some risk associated. We invite you to call our insurance offices and schedule an appointment to discuss this form of investment in greater detail.

Indexed Annuities are not securities. Interest payments are contractual obligations of the insurance company. Refer to policy for specifics regarding when interest is credited (usually only for funds held for of a specified term) and how interest is calculated (may be less than actual index due to expenses and exclusion of dividend earnings of the index). Past performance of the index is no guarantee of future changes in the index or of future indexed interest earnings.

Annuities offered through Lincoln Investment

The financial professionals at Gulf Coast Educators Wealth Management look forward to helping you learn more about the annuity options available. Please contact us at any of our two convenient locations.