Final answer:
A provision known as the free-look period allows a buyer to return a fixed annuity contract for a full refund within a specified amount of time.
Step-by-step explanation:
The provision that allows a buyer to return a fixed annuity contract for a full refund within a certain amount of time is commonly known as a free-look period. During this period, the buyer has the opportunity to review the contract and decide whether or not it meets their needs without facing financial penalties.
It's akin to a warranty; however, instead of a promise to fix or replace, it's an opportunity for the buyer to rescind the contract. Similarly, service contracts provide a promise from the seller to repair or address issues over a set time period, typically associated with large purchases like cars, appliances, or houses.