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Life · Chapter 9 · Purpose & Phases

Annuity (Annuitization) Period — Payout Phase

Definition
Begins when the owner elects to start income. The insurer takes ownership of the accumulation fund and the annuitant owns the promised income stream. Each payment is part principal + interest.
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These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.

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Verified against primary sources · 2026-08-10