Mortality Guarantee — which of the following best describes it?

• A. A fixed withdrawal period guarantee
• B. A death benefit guarantee
• C. A basic settlement option guarantee to continue annuity payments for as long as the annuitant lives, even beyond life expectancy
• D. The prospectus

Answer: (C)

Mortality guarantee means the insurer promises to continue paying annuity income for as long as the annuitant is alive, even if that extends beyond the expected life span. This is a life-contingent feature that shifts longevity risk to the insurer, ensuring the annuitant won’t outlive the income. It’s a basic settlement option aimed at lifetime income. It isn’t about a fixed withdrawal period, a death benefit in a life insurance policy, or the prospectus, which is why the description focusing on continuing payments for life is the best fit.