Which type of Annuity will have 2 distinct phases?

A. Immediate Annuity

B. Deferred Annuity

C. Spouse Annuity

D. Joint life annuity

Answer: Option B

Solution(By Examveda Team)

There are two phases for a deferred annuity: the accumulation or deferral phase in which the customer deposits (or pays premiums) and accumulates money into an account; the distribution or annuitization phase in which the insurance company makes income payments until the death of the annuitants named in the contract.