Longevity insurance

Longevity insurance

Longevity insurance, insuring longevity, is designed to pay to the policyholder a benefit if he or she survives to a pre-established future age.

While any lifelong life annuity is a longevity insurance in the loose sense, in the stricter sense it is a policy that only pays out from a rather high age, e.g. 85.

The benefit is generally paid in the form of an annuity for the remainder of the individuals life, though alternative benefit forms may be provided depending on the terms of the actual policy. Not many insurance companies offer these policies currently. The most notable are Metropolitan Life Insurance and Hartford Insurance Companies. The main use of these products is to provide retirees with a manner to hedge economically against living to an age at which they may have diminished financial resources.


Wikimedia Foundation. 2010.

Игры ⚽ Нужно сделать НИР?

Look at other dictionaries:

  • Longevity bond — Longevity Bonds and Longevity Annuities are financial instruments or a form of insurance that bet against outliving ones savings through mortality rates. These longevity products enable clients to use a small portion of current savings to buy… …   Wikipedia

  • Longevity — The word longevity is sometimes used as a synonym for life expectancy in demography. However, this is not the most popular or accepted definition. [ [http://www.answers.com/topic/longevity?cat=health. longevity: Definition and Much More from… …   Wikipedia

  • Longevity Risk — The risk to which a pension fund or life insurance company could be exposed as a result of higher than expected payout ratios. Longevity risk exists due to the increasing life expectancy trends among policy holders and pensioners, and can result… …   Investment dictionary

  • Life insurance — The foundation of life insurance is the recognition of the value of a human life and the possibility of indemnification for the loss of that value. F. C. Oviatt, Economic place of insurance and its relation to society[1] Life insurance is a… …   Wikipedia

  • Annuity (US financial products) — In the U.S. an annuity contract is created when an individual gives a life insurance company money which may grow on a tax deferred basis and then can be distributed back to the owner in several ways. The defining characteristic of all annuity… …   Wikipedia

  • Life annuity — The life annuity is a financial contract according to which a seller (issuer) typically a financial institution such as a life insurance company makes a series of payments in the future to the buyer (annuitant) in exchange for the immediate… …   Wikipedia

  • Annuity (European financial arrangements) — An annuity can be defined as a contract which provides an income stream in return for an initial payment.Immediate annuityAn immediate annuity is an annuity for which the income stream begins at a time after the initial payment which is less than …   Wikipedia

  • MetLife — MetLife, Inc. Type Public Traded as NYSE: MET Industry …   Wikipedia

  • life span — 1. the longest period over which the life of any organism or species may extend, according to the available biological knowledge concerning it. 2. the longevity of an individual. [1915 20] * * * Time between birth and death. It ranges from a… …   Universalium

  • S. Jay Olshansky — Stuart Jay Olshansky (born in 1954) is currently a Professor in the School of Public Health at the University of Illinois at Chicago and a Research Associate at the Center on Aging at the University of Chicago and at the London School of Hygiene… …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”