Is a Gift Annuity a Safe Investment?
Yes. The annuity funds are placed in a pooled fund. You will continue to receive payments even if you outlive the life expectancy tables. If you have a joint annuity, the payments would, at the time of your death, switch to the other annuitant until that person’s death, but end at that time. The Pooled Funds are invested and a surplus or “Annuity Reserve” is kept. Every three years, a full independent actuarial valuation is done.
