If an annuity owner passes away prior to the time that his or her annuity contract has annuitized, then the annuity contract will provide for a death benefit to be paid to a beneficiary. This death benefit will be received __________ by the beneficiary.

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If an annuity owner passes away prior to the time that his or her annuity contract has annuitized, then the annuity contract will provide for a death benefit to be paid to a beneficiary. Unlike life insurance, the death benefit that is paid under the annuity contract will not be received tax free to the beneficiary. The amount that is considered taxable to the beneficiary is the amount of the death benefit that exceeds the contract's invested premium.

If an Annuity Owner Passes Away Prior to the Time