Saving money for just-in-case and when-your-time’s-up scenarios is smart. Life insurance and annuity products will help you and your loved ones with each. Here’s the lowdown on what you need to know about both insurance products — so you know what’s right for you.
How they pay policyholders
These insurance products pay differently. Here’s what you need to know:
Life insurance payouts: With life insurance, a beneficiary can opt for the payment of the death benefit in one lump sum (or one single payment) or in a specific income payout, in which an interest-bearing account is set up to deliver monthly or annual payments to the beneficiary.1