What's the difference between annuity and insurance?

Annuity


Definition:

  • (n.) A sum of money, payable yearly, to continue for a given number of years, for life, or forever; an annual allowance.

Example Sentences:

  • (1) The ABI figures revealed that the best annuity for someone who is a heavy smoker and has severely impaired health was at Prudential, which paid out 46% more than the worst, from Friends Life.
  • (2) Annuities have suffered their worst year on record, with payouts to newly retiring pensioners falling by 15% so far during 2016, according to data provider Moneyfacts.
  • (3) Only last month the Financial Conduct Authority issued a report in which it said millions of older people were getting a poor deal from Britain's multibillion-pound annuity market, with the biggest losers those with the least money put aside for their retirement.
  • (4) However, to buy an annual pension income of £1,300 via a traditional annuity that also provided an income for your spouse after you die, you would need a pension pot of roughly £25,000.
  • (5) Annuity rates so low that a pension pot running into the seven figures is required to deliver any kind of decent pension.
  • (6) People who prefer to buy an annuity could opt for a "value protected annuity": in return for an extra cost, typically 5% of the income, the policyholder can arrange for any residual money left over when they die to be paid to their beneficiaries.
  • (7) He adds: "The problem with the chancellor's decision is very simple: all the evidence indicates very few people will opt to buy an annuity under the new rules – and the assumption of 30% taking this route deployed by the Treasury in its costings appears highly optimistic.
  • (8) The insurers pay an annuity (a guaranteed annual income in retirement) of £839 a year on a savings pot of £18,000, compared to £1,099 at the best payer, Reliance Mutual.
  • (9) On average, women take out annuities at the age of 59, marginally earlier than men at 62, but both do so significantly sooner than they have to by law.
  • (10) If the recession results in interest rates remaining low for years, as many in the City are now predicting, then annuity rates will also remain at paltry levels.
  • (11) Figures from pensions provider Hargreaves Lansdown show annuity rates have plummeted since July 2008.
  • (12) Table Photograph: asdf In recent years annuity providers have begun offering better payouts to those people they think will die relatively early.
  • (13) The group sold its US life and annuity business last year for £1.7bn , as well as many other smaller overseas operations, to strengthen its balance sheet.
  • (14) The Association of British Insurers is believed to be on the verge of approving a new mandatory code of conduct for pension companies that sell pension income – also known as annuities – ensuring people will get the highest possible income in return for their pension pot.
  • (15) "Annuities may well be broken, but the answer is not to end responsible collective risk-sharing.
  • (16) By forcing long-term interest rates down and inflation up, QE1 has already increased pension fund liabilities by an estimated £74bn , while driving annuity costs to record levels.
  • (17) The chancellor said: “For many an annuity is the right product, but for some it makes sense to access their annuity now.
  • (18) Do not simply accept the annuity offered by your pension provider – shop around for the highest rate possible.
  • (19) The thinktank also suggests removing the option of taking out 25% of your pension fund as a tax free lump; instead investors would get a 5% top up to their pension pot just before they use the money to buy an annuity.
  • (20) It will also end the rules requiring compulsory annuitisation (having to buy an annuity with your pension) at 75.

Insurance


Definition:

  • (n.) The act of insuring, or assuring, against loss or damage by a contingent event; a contract whereby, for a stipulated consideration, called premium, one party undertakes to indemnify or guarantee another against loss by certain specified risks. Cf. Assurance, n., 6.
  • (n.) The premium paid for insuring property or life.
  • (n.) The sum for which life or property is insured.
  • (n.) A guaranty, security, or pledge; assurance.

Example Sentences:

  • (1) Further development of drug formulary concept was discussed, primarily for the drugs paid by the Health Insurance, as well as the unsatisfactory ADR reporting in Yugoslavia.
  • (2) Senator Bernie Sanders of Vermont, who is also seeking the Democratic presidential nomination, recently proposed a bill that would ease the financial burden of prescription drugs on elderly Americans by allowing Medicare, the national social health insurance program, to negotiate with the pharmaceutical companies to keep prices down.
  • (3) The direct monocyte source is not sufficient to insure the stability of this population.
  • (4) Obamacare price hikes show that now is the time to be bold | Celine Gounder Read more No longer able to keep patients off their plans outright, insurers have resorted to other ways to discriminate and avoid paying for necessary treatments.
  • (5) Most survivors reported a range of problems that they attributed to having had cancer: 35%, proven or perceived infertility; 24%, sexual problems; 31%, health and life insurance problems; 26%, a negative socioeconomic effect; and 51%, conditioned nausea, associated with visual or olfactory reminders of chemotherapy.
  • (6) They derive from publications of the National Insurance Institute for Occupational Accidents (INAIL) and refer to the Italian and Umbrian situation.
  • (7) Initial analysis suggests that about one-fifth of gross costs would be directly returned to the public purse via income tax and national insurance payments.
  • (8) The industry will pay a levy of £180m a year, or the equivalent of £10.50 a year on all household insurance policies.
  • (9) The author describes the utilization review process, utilization patterns, and service cost of the Mental Health Service of the Health Insurance Plan of Greater New York (HIP).
  • (10) The four most common types of insurance that protect your income are income protection insurance, critical illness cover, life insurance, and payment protection insurance.
  • (11) Whereas 87% of U.S. physicians supported private fee-for-service health care, 85% of Canadian physicians supported government-funded national health insurance.
  • (12) When I eventually get hold of a human at Uber, I am told the only insurance cover is up to $1m to cover “bodily injury or property damage to third parties where the claim arises out of UberEats and UberRush operations”.
  • (13) The use of accounting software expands the use of in-office computers to areas beyond professional billing and insurance form generation.
  • (14) In a 2013 Politifact interview , the author of the Urban Institute study, Stan Dorn, said: “It makes sense that as time goes by … health insurance coverage has greater impact on health outcomes.” The specific numbers might be hard to agree upon, and even harder to forecast if the Republican bill is passed.
  • (15) Requesting physicians explicitly identified "no money" or "no insurance" as the primary reason for transfer in 89 per cent of 164 cases in which these data were recorded.
  • (16) Relief on contributions, national insurance, tax-exempt lump sums and others amounts to a phenomenal £48.4bn a year.
  • (17) As part of the plan, the treasury and the Federal Deposit Insurance Corporation will guarantee against the "possibility of unusually large losses" on up to $306bn of risky loans and securities backed by commercial and residential mortgages.
  • (18) In March-May 1988, we collected data on enrollment of 1,445 Army families with grade school children in the Active Duty Dependents Dental Insurance Plan at two Army posts.
  • (19) The studies are conducted on members of a prepaid medical insurance plan, and reside in the Oakland area of California, USA.
  • (20) Insurance claims for medical services submitted on behalf of a group of workers in the construction industry were collected over a 20-month period.