group annuity的意思|示意

Group annuities are financial contracts whereby an insurance company promises to make periodic payments to a group of individuals for a specified period of time. The payments may be made from the insurer's general account, from a separate account (such as a trust fund or segregated fund), or from a combination of both.

The purpose of a group annuity is to provide a source of income for a group of people or organizations. For example, group annuities are sometimes used by employers to provide retirement income for their employees. They can also be used by governments to provide long-term care benefits to citizens, or by a charitable organization to provide support to its members.

Group annuities can be structured in a variety of ways, depending on the needs of the group and the insurer. Typically, a group annuity will provide a specified benefit, such as a fixed monthly income, a lump sum payment, or a combination of both. The insurance company may also offer a variety of riders, such as a death benefit, disability benefit, or a rider that provides funds to cover inflation.

When a group annuity is purchased, the insurer will set up a trust fund to manage the payments. This trust fund will be managed by a trustee, who is responsible for making sure the payments are made on time and according to the terms of the contract. In some cases, the trustee may also be responsible for managing any additional investments that are part of the benefit package.

Group annuities can provide a secure source of income for the beneficiaries, allowing them to better plan for the future. However, the terms and conditions of the contract should always be carefully reviewed to ensure they meet the needs of the group and the insurer.