Death Benefit
Again, insurers differ on how they treat the death benefit. With some Fixed-Indexed Annuities, the annuity value (no surrender penalties) is paid to the beneficiary if the owner dies and the surrender value (with surrender penalties) is paid if the annuitant dies. With other Fixed-Indexed Annuities, it is just the opposite. On the other hand, some insurers pay the Guaranteed Minimum Value if death occurs during the term. As with all products that you offer, know your product and know what happens when death occurs.