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Strategies & Market Trends : The Thread Formerly Known as No Rest For The Wicked -- Ignore unavailable to you. Want to Upgrade?


To: Sam Citron who wrote (9906)1/27/1999 2:22:00 AM
From: QuietWon  Respond to of 90042
 
Annuities: There are 2 types 1) deferred/accumulation and 2) payout

For companies with payout business on the books, likely that business has not taken into account longer longevities, so these companies are at risk of persons living longer.

On the other hand, a company starting to sell payout annuities can include longer life spans in its pricing. AND if the co does not feel comfortable with the risk, it can reinsure a portion.

Accumulation/Deferred annuities - no probs