What Is an Annuity?
An annuity is a contract with an insurance company. You put money in now. Later, the company pays you back — in one sum or as monthly checks. Many retirees use annuities to turn savings into steady income.
An annuity is not life insurance. Life insurance pays your family after you pass away. An annuity pays you while you live.
An annuity is not a bank account either. Annuities are insurance products. The federal insurance that protects bank deposits does not apply to annuities.
Read this first. An annuity is a long-term promise. Only use money you will not need for many years. Take money out early and you may pay a fee called a surrender charge. This site teaches. It is not investment advice.
The Three Main Types
- Fixed annuities. The carrier promises a set interest rate. Slow and steady.
- Fixed indexed annuities. Growth links to a market index, with a floor that guards your principal when the index drops.
- Variable annuities. Your money rides the market. It can grow more — and it can lose value. I do not offer these.
Who You Will Talk To
Serge Sendji Augustin — licensed Florida insurance agent, 2-15 Life, Health & Variable Annuity (FL License G231352, NPN 21565385), based in Ocoee. I am an insurance agent. I am not a financial advisor and not an investment adviser. I do not manage investments. I teach, I quote, and I tell the truth.
How I get paid: quotes are free. If you buy an annuity, the carrier pays me a commission. You never pay me directly.
Frequently Asked Questions
What is an annuity in one sentence?
A contract with an insurance company that turns your savings into future payments — often monthly income in retirement.
Is an annuity life insurance?
No. Life insurance pays your family when you die. An annuity pays you while you live. Different products, different jobs.
Are annuities safe?
A fixed annuity's promises rest on the carrier — the insurance company behind it. No company is failure-proof. That is why the carrier's financial strength matters, and why I urge you to check ratings.
Do you sell variable annuities?
No. I hold no securities license, so I do not offer them. This site explains them so you can tell the difference.
Is this site investment advice?
No. This site teaches. It does not tell you what to buy. Nothing here is investment advice.