Survivorship Annuity (Noun)
Meaning
An annuity payable to one person in the event that someone else is unable to receive it.
Classification
Nouns denoting possession and transfer of possession.
Examples
- A survivorship annuity ensures the deceased policyholder's partner receives regular payments after their passing.
- As part of his inheritance plan, John arranged a survivorship annuity that would transfer the annuity payments to his sister upon his wife's death.
- This arrangement benefits married couples where the primary earner can opt for a higher income-generating option that is paired with a survivorship annuity to cover expenses if one partner is left behind.
- Pension administrators would manage funds providing both current recipients and individuals covered by a survivorship annuity that supports remaining dependents when applicable.
- Prior to their trip around the world, Bob opted to sign a policy covering an inheritance fund protected with a survivorship annuity if one partner is deceased upon or prior to reaching payout date.