Joy is nearing retirement and is considering buying an annuity product from Wagon Financial. However, she is considering adding a clause that says she will only receive the annual $80,000 payment if she is alive at the time of the payment (up to a maximum of 20 payments). Other than this clause, the specifications for the annuity she is considering are exactly the same as described above.

Should Joy expect the price for this product to be cheaper or more expensive by adding this clause?

Answer rating: 100% (QA)

Adding this clause would make the annuity more expensive The price of an annuity is b... View the full answer