Definitions for "Cash Refund Annuity"
In this type of annuity, if the annuitant dies before the balance of the annuity has been paid out in periodic disbursement, any amount remaining will be paid to a designated beneficiary in one lump sum.
An annuity contract which pays the income benefit for the life of the annuitant and in the event that the annuitant dies prior to the income received equaling the premiums paid, the beneficiary will receive the difference in a lump sum payment. In this form of annuity the insurance company guarantees to return at least the amount of the premiums to the annuitant or to his or her beneficiary.
An annuity in which you are guaranteed to receive a certain amount of money. If you die before you receive this set amount, your beneficiary will receive the remaining value.