A contract in which a life insurance company agrees to pay you a set periodic payment (annuity) in exchange for your RRSP or RRIF savings until age 90.
Guarantees you regular payments until the end of the specified period or until age 90.
If the annuity was purchased with your RRSP, it is automatically guaranteed up to age 90.
If death occurs before the end of the guaranteed payment period, payments are made to your spouse until the end of this period. If there is no surviving spouse, your estate receives an amount equal to the present value of payments for the remaining
period.
To find out more about annuities, visit the Desjardins Financial Security Web site.