Final answer:
A standard term life insurance, a car payment, and a mortgage do not qualify as annuities, while a government pension does, making the statement FALSE. Annuities involve regular payments for life, commonly used for retirement savings.
Step-by-step explanation:
The statement in question asks us to rate whether a standard term life insurance policy, a government pension, a car payment, and a home loan (mortgage) are all valid examples of annuities. An annuity is defined as a fixed sum of money paid to someone each year, typically for the rest of their life, often used as a means of saving for retirement. This statement can be rated as FALSE because among the options provided, only a government pension can be considered an example of an annuity.
A standard term life insurance policy is not an annuity; it provides a benefit to the beneficiaries only upon the death of the insured and does not offer annual payments during the insured's lifetime. Similarly, car payments and home loans are not annuities either; they are instances of amortized loans where the borrower makes regular payments over a period, but the payments are not for the borrower's life, they end when the loan is paid off.
On the other hand, a government pension does fit the definition of an annuity as it is a series of fixed payments made to the retiree, usually for the rest of their life. Pensions can also be considered defined benefits plans, where the amount is determined by salary and years of service, and they are designed to provide consistent income during retirement.