So, if you're uncomfortable with the risk of a variable annuity but would still like the possibility of more growth than you'd get with a fixed annuity, you may want to consider an equity indexed annuity. Individual annuities cover only one or two people. They are generally flexible premium, deferred annuities established by a company or organization as qualified retirement plans for group members. Benefits of Annuities Annuities are designed to be long-term financial planning tools. However, that doesn't mean you can't have access to your money if you need it Penalty-free withdrawals.
Most deferred annuities have a free withdrawal provision.
Systematic withdrawal plan. If you need to begin supplementing your income before you retire, many annuities will let you take money out, without company penalties or the IRS early withdrawal penalty as long as you set up these withdrawals as regular payments for the rest of your life. Of course, you may have to pay taxes on all or part of your withdrawals. Qualified annuities also let you borrow from the money in your annuity. And, since you'll be paying back the money, there are no surrender charges or tax consequences on loans.