Definitions for "GUARANTEE PERIOD"
The minimum number of months for which a life annuity will be paid. If the annuitant dies before the guarantee period ends, the beneficiary(ies) will receive the remainder of the payments in the guarantee period.
A period of time during which the company will credit a stated rate of interest. The guarantee period is usually one year.
Payments can be guaranteed for a specific period of time. If the plaintiff dies before the end of that time, the annuity can be paid to the estate until the guarantee period expires. If the plaintiff lives longer than the guarantee period, the payments will continue to the end of the plaintiff’s life (assuming the policy is life contingent).