The methods of influencing teachers into these vehicles vary from mild to extreme levels. Nevertheless, insurance sales representatives have been extremely effective in taking advantage of teachers in this arena. In the interest of full disclosure, allow me to introduce myself. I am also an insurance-licensed and authorized to sell annuities to clients.
Teachers are smart people.
But as smart as they are, it's impossible to be an expert on everything - including investing for retirement. It is my hope that, by reading this article, teachers will be more cognizant of the pros and cons of annuities and other investment options available to them. Let's start with a description of fixed annuities. Fixed annuities are an insurance contract designed solely for retirement savings where investors are guaranteed a stated rate of return over a period of time. Variable annuities are also insurance contracts designed for retirement savings.