Why You Should Review Your Annuity (Before It Costs You)

Review Your Annuity (Before It Costs You)

When was the last time you reviewed your annuity?

If your answer is “not recently” or “I didn’t know I should,” you’re not alone. Many people buy annuities and file the contract away until they are ready to activate the contract. But just like your overall financial plan, your annuity deserves a closer look, at least once a year.

Because here’s the truth: What was the best option 10 years ago, more than likely is not the best option available today.

The Importance of Annual Financial Reviews

Life changes. The market changes. Interest rates shift. And new financial tools are constantly being introduced. That’s why reviewing your retirement strategy every year is so important.

It helps you answer key questions:

• Is your money working as hard as it could be?

• Are you losing more to fees than you should?

• Are you still on track to meet your retirement income goals?

If an annuity is part of your retirement plan, and for many people it is, it’s critical to evaluate whether it’s still doing the job it was meant to do: protect your principal and provide guaranteed income.

What to Look for When Reviewing Your Annuity

Every annuity is different. Some are built for growth. Some are built for income. Some try to do both. But no matter what type you own, there are a few important areas you should check regularly.

First, look at how your account performed over the past year. Did it gain value? Did it meet your expectations? If you have a variable annuity, how did the underlying investments perform? If it’s an indexed annuity, evaluate how your index allocations did compared to the broader market.

Next, examine your fees. Some annuities have no explicit fees, but many come with rider charges, mortality & expense fees, or administrative costs that eat into your returns. Over time, these can add up. Knowing what you paid last year, and why, is a great starting point.

Don’t forget to check your income projections. If your annuity includes an income rider or is designed to pay you in retirement, make sure you understand how much guaranteed income it’s projected to generate now. Ask yourself: Is this amount still enough to cover your lifestyle and expected expenses?

Also, take a look at the death benefit, the amount your heirs would receive if you passed away. Depending on how long you’ve owned your annuity and how it has performed, this number may have changed.

Annuities Have Evolved—Have You?

One of the biggest reasons to review your annuity is that the marketplace has changed. Today’s annuities are not the same as the ones issued even five years ago.

Insurance companies have rolled out contracts with enhanced features and more generous guarantees. Some offer premium bonuses of 15–20% just for opening a new contract. Others guarantee up to 15% income growth annually during the deferral period. A few even lock in interest rates for 5 to 10 years, giving you stability in uncertain markets.

If your current annuity is underperforming, or just outdated, it might be time to compare it with what’s now available. In some cases, switching to a newer, more efficient annuity can increase your future income, reduce fees, or strengthen your legacy plan.

You Deserve a Second Opinion

Here’s the bottom line: An annuity can be a powerful piece of your retirement puzzle, but only if it’s the right annuity, for the right purpose, at the right time.

If you’ve never had your annuity reviewed, or if it’s been a while, now is the perfect time. You’ll gain clarity on what you own, how it works, and whether it still aligns with your goals.

You don’t need to figure it out on your own, either. A financial professional can walk you through the fine print, explain your options, and help you compare your contract with newer alternatives without pressure or obligation.

Ready to See How Your Annuity Stacks Up?

Let’s take a look at your current annuity together. You might decide to keep it. You might discover a better option. Either way, you’ll walk away with more confidence about your retirement income plan.

Click here to book your free annuity review today.
Because peace of mind in retirement is too important to leave to chance.