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16 August, 23:31

An annuitant owns an annuity that has been in force for 4 years. The policy has a 10-year surrender charge associated with it. If the annuitant suffered a long-term disability and used the funds from the annuity as a result, what surrender charges would be assessed?

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  1. 16 August, 23:37
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    Answer: No surrender charges would be assessed.

    Explanation:

    The reason no surrender charge would be assessed or applied is because annuity surrender charges are generally waived if the annuitant is hospitalized, placed in a nursing facility, suffers a long term disability, becomes disabled, or dies.
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