Frequently asked questions

Nothing. We charge you no fees for consultations, quotes or ongoing service. As licensed agents we are paid a commission by the insurance company whose policy you choose, and that commission is already built into the product’s pricing. Your premium is the same whether you buy through us or another agent.

No. Annuity Life Group is an independent agency of licensed insurance agents based in Maryland. We do not issue policies or annuities ourselves, and we are not affiliated with any single insurance company. We hold broker contracts with several A+ rated carriers and help you compare their products.

We are not employed by a single insurance company. We hold broker contracts with several A+ rated insurance carriers, so we can compare options from more than one company and recommend the one that fits your situation, rather than the only one we are allowed to sell.

No. We are a virtual agency, so consultations and reviews happen by phone or video. That makes it easy to fit a meeting into your day, wherever you are in the states where we are licensed.

No. A consultation is a conversation about your goals and options. If something fits, we will explain it in writing before you decide. If nothing fits, we will tell you that too.

No. We explain how insurance and annuity products work, including their general tax treatment, but we are not tax advisors or attorneys. For decisions that depend on your tax or legal situation, please talk with your CPA or attorney; we are happy to coordinate with them.

We are based in Maryland, and our agents are licensed in Maryland, the District of Columbia, Virginia, Delaware, West Virginia, Pennsylvania, California, Florida, Texas and Colorado. Because we meet virtually, we can help you anywhere in those states. Not every agent is licensed in every state, and some products are not available everywhere.

It depends on the product and your health. Some carriers offer no-medical-exam policies with decisions in as little as 48 hours for qualifying applicants. Other policies, larger amounts or more complex health histories can take several weeks while the insurer reviews medical records or an exam.

A common starting point is enough to pay off debts, replace several years of income and fund goals like college. The right number depends on your income, savings, debts and who relies on you. We will work through it with you instead of using a rule of thumb.

Term life covers you for a set period and is usually the least expensive. Permanent life (whole, universal or indexed universal) is designed to last your whole life as long as required premiums are paid, and builds cash value, but costs more for the same death benefit.

Living benefits are riders that may let you use part of your death benefit early if you are diagnosed with a qualifying chronic, critical or terminal illness. Using them reduces the amount paid to beneficiaries. Availability, triggers and costs vary by carrier and state.

Fixed and fixed indexed annuities are not invested directly in the stock market, so your principal is protected from market losses when the contract is held to the end of its term. However, surrender charges, market value adjustments and withdrawals taken early, beyond any free-withdrawal amount, can reduce what you receive. Optional rider fees can also reduce contract value. Guarantees depend on the claims-paying ability of the issuing insurer.

A multi-year guaranteed annuity pays a fixed interest rate for a set number of years, for example three, five or seven. It is often compared to a CD, but it is issued by an insurance company, grows tax-deferred and is not FDIC insured.

It credits interest based partly on the performance of a market index such as the S&P 500, up to a cap or participation rate set by the insurer. When the index goes down for a crediting period, the credited interest is typically zero rather than negative. You do not own shares in the index and dividends are not included.

Most annuities allow a limited free withdrawal each year, often around 10% of the value. Taking more during the surrender period usually triggers a surrender charge and possibly a market value adjustment. Withdrawals before age 59½ may also face a 10% IRS penalty plus income tax.

Many people start looking in their 50s or early 60s. Premiums are generally lower and approval easier while you are healthy, but the right time depends on your health, savings and family situation.

Some employers do, but group coverage often replaces only part of your salary, may be taxable, and usually ends if you leave the job. An individual policy can fill the gap and stay with you.