Group Life & AnnuitiesQuestion 107 of 716
In an annuity contract, whose life is used to calculate the periodic payouts during the annuitization phase?
a.The annuitant's
b.The beneficiary's
c.The owner's
d.The issuing insurer's
Explanation
The annuitant is the natural person whose life is the measuring life for the payout calculation. Owner and annuitant are often the same person, but they need not be. The beneficiary receives any remaining value only if the owner dies before annuitization.
Law Reference: Cal. Ins. Code §10127.10This topic, taught in full in the California Life & Health Insurance Producer Exam guide. California Life & Health Insurance Producer Exam — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
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Related questions on this topic
- Under Internal Revenue Code Section 79, how much employer-paid group term life coverage on an employee is excluded from the employee's taxable income?
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- Which license, in addition to a California life-only license, must a producer hold to sell a variable annuity?
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PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)