Deferred income annuities getting some traction

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You’ve probably seen this attention-grabbing advertising message on television or on a billboard: “The First Person To Live To 150 Is Alive Today.” Not surprisingly, the ad comes from an insurance company–Prudential–and the pitch is for annuities. You may find the message optimistic, unsettling, or just plain disturbing–but it does highlight the insurance industry’s core […]

Income annuity puzzle: Why don’t more people use them?

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Financial planner Michael Kitces thinks a hybrid income annuity/long-term care insurance policy could be the solution to a riddle economists have puzzled over for years. Economists have long argued that there’s a perfect financial product for retirement: the humble immediate income annuity. It’s a straightforward proposition: Fork over a big chunk of cash to an […]

Transforming your 401(k) into steady income

A job and a paycheck – they go together like coffee and cream. But when you retire from your regular job, does that mean you have to give up the cream? A growing number of 401(k) plans are including investment choices that can help savers convert nest eggs into retirement income. Participants can buy insurance […]