When Might Purchasing a Deferred Annuity Make Sense?

We’ve asked financial professionals to describe an older adult for whom the purchase of a deferred annuity might make sense. They tell us that such person would, among other things: 

	Not need the principal returned while the surrender charges will apply, and
	Have another way to pay for any needed care throughout the surrender charge period, and
	Have a long-term investment horizon, and
	Be paying income taxes at least at a 35% combined marginal rate.

June 2002

Don't forget to Ask First!

Already Purchased an Unsuitable Annuity? Go to our Who Can Help section for information on who to complain to.

This is Part 6 of the Special Report - go to Part 7.