Which statements are TRUE regarding the annuitization of a variable annuity contract?

Which statements are TRUE regarding the annuitization of a variable annuity contract?



I A Life Annuity payout option may be elected by the policy holder

II Life Annuity-Period Certain is the preferred payout option

III The number of annuity units is fixed; the annuity payment may vary

IV The annuity payment is fixed; the number of annuity units may vary



A. I and III

B. II and III

C. I and IV

D. II and IV


Answer: A.

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