What is an Annuity?

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Annuities Information

Financial Terms

What is an annuity?

Generally a retirement investment, an annuity is a form of contract sold by life insurance companies that guarantees a fixed or variable payment to the policyholder at a future date. As the policyholder or annuitant, you agree to make a single or a series of contributions to the insurance company. In turn, the insurance company will provide you with income that can begin immediately or in the future and for a specified period of time.

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What is an annuity?

Why is an annuity a good investment option for retirement?

What are the features and benefits of an annuity?

How do you receive income from an annuity?

What types of annuities are available?

Why is a fixed annuity a good choice for low-risk investors?

Why is a variable annuity a better choice for investors concerned with inflation?

Why is a combination annuity a good choice for investors concerned with security and inflation?

Are there any federal restrictions?

What are the key financial terms you should know?

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Important Notice about Purchasing an Annuity From Us

To help the government fight the funding of terrorism and money-laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each person who purchases certain annuity products. What this means for you: When you purchase certain annuity products from us, we will ask for your name, address, date of birth and other information that will allow us to identify you. We may ask to see your driver's license or other identifying documents.

Securities and investment advisory services are offered by VALIC Financial Advisors, Inc., member FINRA, SIPC and an SEC-registered investment advisor.

VALIC represents The Variable Annuity Life Insurance Company and its subsidiaries, VALIC Financial Advisors, Inc. and VALIC Retirement Services Company.

This information is general in nature and may be subject to change. Neither VALIC nor its financial advisors or other representatives give legal or tax advice. Applicable laws and regulations are complex and subject to change. Any tax statements in this material are not intended to suggest the avoidance of U.S. federal, state or local tax penalties. For legal or tax advice concerning your situation, consult your attorney or professional tax advisor.