In enhanced annuities, the annuity payment depends on one's state of health at some contracted date while in "standard … annuities", it does not. The focus of this paper is on an annuity market where "standard" and enhanced annuities areoffered … simultaneously. When all insured know equally well on their future health status either enhanced annuities drive standard annuities …

In enhanced annuities, the annuity payment depends on one's state of health at some contracted date while in "standard … annuities", it does not. The focus of this paper is on an annuity market where "standard" and enhanced annuities areoffered … simultaneously. When all insured know equally well on their future health status either enhanced annuities drive standard annuities …

In enhanced annuities, the annuity payment depends on one's state of health at some contracted date while in "standard … annuities", it does not. The focus of this paper is on an annuity market where "standard" and enhanced annuities areoffered … simultaneously. When all insured know equally well on their future health status either enhanced annuities drive standard annuities …

This paper examines market reaction to the introduction of enhanced annuities in a market for deferred standard … population, both products can remain in the market where lower risk types buy enhanced annuities while the higher risks stick to … individuals already have an idea about their future risk type when young which becomes clearer over time. It shows that enhanced …