First, it is important to understand that retirees invest in Annuity products to increase their human capital. The Insurance providers are providing so many new options these days around Annuity Products, it is impossible to discuss all options!
Secondly, annuities have the unique advantage of having generally no upper limit of investment. So theoretically, if you have a corpus large enough, you can invest entire corpus to generate Annuities.
Thirdly, annuities can be opted for joint life of both spouses. This way the annuities ensures that both spouses receive the annuity till they are alive. Thus protecting the human capital of both the spouses.
Fourthly, if the investors want, it is possible to get the return of invested capital to a nominee of choice. Obviously, choosing this option drastically reduces the annuity pay out.
Furthermore, even deferred options of investment is possible. There by allowing the investors to choose when they want their annuities to start. That is deferred Human Capital protection. Amazing is it not?
Finally, it is important to understand that adding a pension to our life, increases our Human capital beyond our working lifetime. Please read up the blog about how Total Capital consists of Human and Financial capital.
