Question by end- user: What will the financial crisis do to my lifelong annuity?
I have a survivor annuity, which I receive a monthly deposit from, that I am supposed to receive until I die, but with the obvious failure of the bailout, and the cumulative degradation of the stock market, I am unsure as to what is going to happen to it. Is this annuity at risk, and, if so, what can I do to get it out of harm’s way? Should I turn it to gold or something?

Best answer:

Answer by Jay S
Keep in mind where you are asking these questions, so you know to take any “advice” with a grain of salt.
But if you’re just tallying sentiment, I would get out of those things. They are dependent on a single corporate entity to back them up and we see where that got AIG. Sure there is an “insurance” entity for those things, but how far will that go if all these investments take a dive and all the insurance companies have trouble?
Here is the hub for insuring these things: http://www.nolhga.com/
Again, the companies pool resources to cover eachother in case of problems that acts as a safeguard of sorts, but what happens when they ALL struggle? They aren’t FDIC or government covered as far as I know.

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