Single Premium Immediate Annuities (SPIAs)
Single Premium Immediate Annuities (SPIAs) are also referred to as income annuities or pension annuities. SPIAs provide the highest contractual guaranteed payout of any annuity type if you need the income stream to start right away.
This simplistic annuity is the original design from the Roman Times, and was the only annuity type offered in the U.S. unti 1952. Single Premium Immediate Annuities have no annual fees, and are easy to understand. Their primary value proposition is that “Life” SPIAs guarantee a lifetime income stream regardless of how long you live, and solve for the transfer of risk, sometimes called Longevity Risk.