By having more than one insured person, you maximize your flexibility on maintaining the policy, since the contract will be based on two lives. This usually makes sense for a couple, where both are depending on the annuity payments. Should one of the insured persons pass away prematurely, the contract and the annuity payments will continue in the name of the second insured person.

A single-life annuity, as the name implies, is an annuity contract based on one person's life. The guaranteed values and annuity payments will be based on the sex and age of the insured person.

On the other hand, a joint-life annuity provides an income for two people, in most cases husband and wife. The insurance company calculates the guaranteed value and the annuity payments based on the life of both insured persons and guarantees to pay the retirement income up to the death of the surviving annuitant.