- 4 - (1) If Julie is alive on the retirement date, Phyllis will begin receiving annuity payments. If Phyllis subsequently dies, any remaining payments will be paid to the contingent beneficiaries. (2) If Phyllis predeceases Julie before the retirement date, Julie will become the successor owner, and she must terminate the contract within 1 year after Phyllis’s death by either: (1) Surrendering the contract as described in the contract’s nonforfeiture provisions; or (2) electing an annuity as described in the contract’s settlement options provisions. The nonforfeiture provisions provide that Julie could take free annual withdrawals or surrender all or part of the contract. The settlement options provide that Julie could take partial surrenders of the cash value, fixed amount installments, fixed period installments, life annuity with a period certain, installment refund annuity, or a joint and survivor annuity. (3) If Julie predeceases Phyllis before the retirement date, Phyllis will receive the death benefit of the total cash value of the contract less any unpaid loans. A few years after the annuity was issued, Phyllis told Julie that she placed Julie’s name on the annuity as the annuitant and successor owner because Mark was busy, Paul’s lifestyle was different, and Heidi lived in Florida and that Phyllis knew that “if anything ever happened to me [Phyllis], that you [Julie]Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Next
Last modified: May 25, 2011