Let’s talk about… annuities
ivari’s Single Premium Immediate Annuities (SPIAs) provide guaranteed regular payments made to you for life, or for a specific period of time, in return for a lump sum premium.
ivari offers three types of annuities:
Single life annuity with or without a guarantee period*
A single life annuity provides an income as long as the annuitant is living. The income payments can also be guaranteed for a specific period. The income frequency can be monthly, quarterly, semi-annual or annual. If a guarantee period is selected, payments are guaranteed during the selected period. If the annuitant dies before the end of the guarantee period, the income will continue to the beneficiary until the end of the guarantee period.
Joint and survivor life annuity with or without a guarantee period*
This type of annuity provides an income during the lifetime of two people, first on the life of the primary annuitant, then on the life of the successor annuitant. The payments are guaranteed while at least one of the annuitants is living. The income frequency can be monthly, quarterly, semi-annual or annual. There are optional guarantee periods, as well as an option to reduce the payment amount at the primary annuitant's death or after the guarantee period has expired.
Term certain annuity
A term certain annuity provides the annuitant with guaranteed, regular income for a selected period of time. Income payments cease and the annuity contract ends when the selected period of time is up.
*"Without a guarantee period" is available on registered plans only.
Key benefits of an ivari SPIA
SPIAs allow you to convert a registered or non-registered lump sum into a regular stream of income that can be guaranteed for the life of one or two annuitants, or for a specified period of time.
Key benefits include:
- Guaranteed income: With a SPIA, there's no danger of you outliving your capital. Your future income is guaranteed, and you will know exactly how much income you receive for life or for the period you have chosen.
- Premium guarantee: If the annuitant and the successor annuitant should die before the first payment date, ivari will return the entire premium in one lump sum to the beneficiary.
- Easy to manage: You don't need to be concerned about ongoing investments or management decisions. Once you purchase a SPIA, the regular stream of income is guaranteed.
- Tax-efficient income: A SPIA immediately converts a lump sum of money into a stream of tax-efficient income.
- Potential creditor protection: As an insurance product, a SPIA gives you the ability to name a family member as your beneficiary. Accordingly, your investments may be protected from creditor claims. A number of conditions or restrictions could apply. Please consult a legal advisor for more information about creditor protection.
- Estate planning: Since a beneficiary can be named within a SPIA, payment to the estate, as well as the costs and delays associated with probating a will, is bypassed.