Types of annuities
Single life annuity
This annuity provides fixed regular payments for as long as you live with payments stopping upon your death. While this annuity provides the maximum income, it may not be suitable for individuals who want payments to continue to a spouse or beneficiary.
Joint and last survivor life annuity
This joint and last survivor life annuity is based on two lives. It will provide income for your lifetime and, upon your death, your spouse’s lifetime.
Normally, pension plans are set up to provide a retirement income to both the employee and the spouse. Therefore, a joint life annuity must be selected unless the spouse (and the employee in certain provinces) signs a spousal waiver. This is also the case for locked-in RRSP funds.
Life with guarantee period annuity
A guarantee period of five, 10 or 15 years is available for both single life, joint- and last-survivor annuities. This option provides a guaranteed income for the longer of either your lifetime or the guarantee period.
Term Certain Annuity
This annuity provides fixed regular payments for the period you select, for a minimum of five years.
While this annuity provides stable income for a guaranteed period, it may not be suitable for individuals who will live a long time or want to continue payments to a spouse.