Why AIG Annuity

A number of reasons people choose an AIG annuity over the different companies providing annuities. One of the most predominant of reasons is the fact that an AIG annuity has name recognition. This is because they have a great marketing campaign and do everything they can in order to get their name out there. The fact that the company also carries a quality line of annuity products as well does not hurt their business either.
One of the things about an AIG annuity or any annuity for that matter is the fact that it can serve as a source of income to receive following retirement. What happens is you pay into the annuity and as the money grows, so will the payments that you will receive from it following retirement. There are some stipulations as well when it comes to what you will receive and tax policies one will face when they do go to withdraw money from the annuity.
If you are going to withdraw the funds from your annuity before the age of 59.5 years old, you will face a tax penalty of up to ten percent of the amount that is in the annuity. If you choose to use a deferred annuity as opposed to an immediate income annuity, then you will not need to pay taxes on the funds in the account until you withdraw the funds from the account.
The two primary types of AIG annuity accounts are the deferred and the immediate income accounts. The deferred annuity is the type that people would want to select a s a retirement plan. This is because they will be less likely to attempt to take the money out of the account early because of penalties as well as the fact that the money placed in the account is not subject to tax until it is withdrawn. There are two ways to invest in this type of annuity and watch the money grow. There is the possibility of just installing a large lump sum and then watching the money grow from the investments in which it is associated, or you can choose to have a flexible premium in which you deposit a certain amount into the fund annually in hopes of it growing more each year.
The second type of AIG annuity is the immediate income annuity. No these are not tax deferred; however, they do provide a sense of security for the investor, as they will guarantee payouts over the life of the investor. This will provide a sense of security to the person who has placed their money in the hands of AIG and intends to be able to have income for the rest of their lives.
Depending on what it is you are looking for and what type of retirement plan will work best for you will guide you towards being able to make a choice of an AIG annuity. In essence, it is a matter of being able to wait and being able to feel secure in the decision that you make.