Getting the best annuity rates is important for any investor who wants to put money into an annuity. When shopping for the best annuity rates, there are several things you should keep in mind. You need to shop around among multiple insurance companies, negotiate with the insurance agent, and consider indexed or variable annuities.
An annuity is a type of investment commonly used for retirement planning. The basic idea behind an annuity is that an investor can put aside a certain amount of money over the long-term and then when he or she retires, will be able to receive a regular income for life. This type of investment provides a stable income and security for those who are retiring.
In order to maximize the amount of money you can receive from an annuity, you need to be able to find the best rates. The first step in the process is to start shopping around. You should work with several insurance companies to see what they have to offer. Visit with your local insurance agents and get online to see what the online insurance companies have to offer. The more insurance companies you can investigate, the better odds you will have of securing a good deal.
Once you start talking to a specific insurance company, you should also do your best to negotiate with the insurance agent. The annuity business is very competitive and insurance agents may be willing to negotiate with you. They will potentially be able to increase your annuity rates or lower the fees you pay. By being persistent, you could potentially negotiate a great deal with your insurance agent.
You should also consider looking at other types of annuities besides the standard fixed annuity. Many individuals who are planning for retirement focus only on fixed annuities instead of equity indexed or variable annuities. Both of these products could potentially provide you with greater returns than a fixed annuity.
An equity indexed annuity is a type of annuity contract that is linked to a financial index. If the index performs well, you will be able to get larger annuity rates. A variable annuity is a type of annuity contract that allows you to choose from a list of investments to put your money into. The annuity rates will depend on how successful you are at choosing investments.