Signing an annuity contract can be stressful, intimidating, and downright overwhelming. You are trusting someone you’ve never met to do you right with your money so that you can successfully plan for your future finances. A question that you might frequent is who you should trust with your investment: a financial advisor or the insurance company. There are pros and cons to each of these options. Annuity Genius of Florida is going to dive deeper into what the two options come down to so that you can determine which option works best for you and your variable annuity investment.

One of the primary things that you need to take into consideration is how complex the contracts for annuities can be, and are for most. When you are ready to sign your contract for an annuity you want to make sure that you can trust the individual that you’re working with to give you not only the best information, but someone that will explain and work through it with you. For this point, working with an insurance company is a con. Insurance companies can get overwhelming when you begin to sift through the policy types and agreements. In this case, a certified financial planner would be more beneficial because their sole purpose is to inform you.

In these types of instances, you also have to consider who is most likely to provide you with the information that will benefit you the most. This point is both a pro and a con for working with financial advisors. Depending on the financial advisor that you’re working with, commission could be something driving the conversation. There are companies where there is no pay rate based off of an annuity sale. Annuity Genius, for instance, doesn’t reward or reprimand our team for getting, or not getting, sales. This point is also a pro and con for working with the insurance company. Insurance companies are not going to be driven by sales, but on the other hand, it is their product, so they may be pushier or twist the deals they’re offering.

As a person who is investing funds to build up a future finance fund, you need to demand transparency, regardless of who you work with. Needing straight forward answers and understanding is crucial to getting the annuity that suits you best.