Legal Definitions - survivorship annuity

A survivorship annuity is a type of annuity that provides continued payments to a survivor, usually a spouse, after the original annuitant dies. An annuity is an obligation to pay a stated sum, usually monthly or annually, to a stated recipient. These payments terminate upon the death of the designated beneficiary.

For example, if a husband and wife purchase a survivorship annuity, the annuity will continue to pay the wife after the husband dies. This provides financial security for the surviving spouse.

Another example is a group annuity, which is payable to members of a group, especially employees, who are covered by a single annuity contract, such as a group pension plan. If an employee dies, their spouse may be eligible to receive survivorship annuity payments.

Overall, survivorship annuities provide a way for individuals to ensure that their loved ones are financially secure after they pass away.