Annuities
Who's Who in an FIA?
Let's Answer This:
What is a Fixed Indexed Annuity?
A fixed indexed annuity (or FIA) is a contract between an individual and an insurance company.
The contract dictates the terms of the agreement. Basically, it establishes each party’s rights and responsibilities, how long the money must remain in the annuity, and how the interest rate is calculated. With an FIA, you can secure a lifetime income. Additionally, it can be set up to provide you with a reasonable rate of return** while also guaranteeing* principal protection.

Does an FIA Come With a Death Benefit?
Certain annuity contracts, including FIAs, provide a death benefit to your spouse or other beneficiaries. You may choose to have the death benefit paid in one single payment. Instead, you might have it set up such that your spouse receives money in a series of payments. But, whatever option you choose, make sure you understand all of the details.
In fact, we’d be happy to answer your questions and explain how a fixed indexed annuity works. However, many specifics depend on the individual contract and how it is structured.

Who's Who in a Fixed Indexed Annuity?
Three parties are involved in an FIA contract–sometimes four. The roles are as follows:
- The insurance company issues the annuity and backs its claims
- The contract owner purchases and contributes the money to the annuity
- The annuitant receives the payout from the annuity (in most instances, the contract owner and annuitant are the same person)
- The beneficiary (or beneficiaries)Â receive a death benefit from the annuity after the annuitant passes away