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An individual has been making periodic premium payments on an annuity. The annuity income payments are scheduled to begin after 1 year since the annuity was purchased. What type of annuity is it

User Savpek
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1 Answer

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Answer: Deferred

Step-by-step explanation:

The deffered is one of the type of annuity that helps in making the various types of insurance related contracts for the purpose of long time savings.

A deferred annuity is one of the type of contract where they pay some amount of their profit to the owner on the regular basis and it also used by various types of investors for profit purpose.

According to the question, the deffered annuity is making the various types of periodic payments that helps in scheduling the annuity after one year. Therefore, Deferred is the correct answer.

User Chic
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