As KayakerNC is pointing out, these Immediate Lifetime Annuities (aka SPIA’s) are not those variable annuities that many people advise against. They are a great option for retired folks who have a certain amount of money they don’t need to leave to the kids and grand-kids and that will return a pretty high rate (~ 7.5%) forever until they and/or their spouse dies.
They are not popular with these so called “investment advisors” because they don’t pay large commissions. But they pay higher than average interest and it will continue to pay no matter how long you live. Of course, the day you die (and or your spouse dies if a joint policy) the insurance company keeps the premium, there’s no death payout. But that’s the whole point of this type of investment anyway.
Here’s a link to the most popular on-line connection to this type of annuity and will allow you to play with the numbers and get an idea of how much you (and your spouse) can expect to receive for the rest of your life:
Immediate Annuities
And no, I have no affiliation with this, it’s just something I’ve researched extensively and intend to use.