...at least in concept.

They are, theoretically, a nice insurance against superannuation for yourself or your relict (1) (in addition to that provided by delayed filing for Social Security).

In practice, however, I wouldn't touch annuities with the proverbial ten-foot pole. A bunch of fine print, exceptions, obscure criteria and various other mumblemumble, coated with verbal promises and smooth talk.

At that point, you're required to surrender a substantial amount of capital to some company you've agreed to absolutely rely on come a time many years in the future, at a point when you're incapable of effectively advocating for yourself.

As my eldest would say, What's the worst thing that could happen?

Then the 31 May edition of The Economist had this to say (bolding mine) (2):

"The sleepy life insurance industry can be marshalled (by private credit) to fund long-term projects and lending, to the benefit of America's economy and its growing number of retirees. They also benefit from lax regulation, including by way of offshore reinsurance arrangement in Bermuda and the Cayman Islands

"(Private-credit giant) Apollo started Athene, its insurance, arm in 2009...Athene now sells more annuities...than any other insurer in America"

The article goes on to discuss more hidden risks, the general consensus of an asset bubble in PC, and the stresses placed on banks.
Unnecessarily in my view, as you lost me entirely at "offshore reinsurance"

Anyhow.

-- sutton

(Were I to wake up King of the US tomorrow, the seventh thing I would do would be to direct the USPS or similar to offer a plain-vanilla annuity for sale at fair prices, guaranteed by the Fed, to John and Jane Q Public.)

(then there's mungo's advocacy of tontines. Again, a nice idea, but requires the future risk of the estates of one's fellow tontine holders not to tie the whole thing up in court, just around the time you need the cash flow.)

1) a fine word, which should never have become obsolete: en.wiktionary.org: relict - Wiktionary, the free dictionary
2) economist.com - The debt barons who are taking on the banks (gated, sorry)