Monday, October 03, 2011

Life companies offer interest-bearing variable annuities than can be convenient for beneficiaries of trusts, for charitable giving

A few life insurers are selling variable annuities which pay guaranteed interest rates, sometimes as high as 6% even now, and these products could be useful when people receive distributions of estates from trusts to meet the deceased’s wishes on charitable giving (using the interest income to fund the gifts, which may work in some tax situations).

In many cases, these products are offered by specific insurers only for specified periods (at least at higher rates0, according to the insurer’s market share situation.

I’ve found this to be the case with the Met Lifew MLI USA Varriable Annuity Series.  But in general, the availability of this kind of product varies a lot with time, among different companies. 

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