That is a great question! Annuities are considered to be insurance products, and there is most definitely a contract that defines clearly the stipulations for payments and fees for you and the insurer issuing the annuity. Deferred annuities can be great investments, especially if you can safely put aside that money without need for the allotted deferment period. Be sure to do your suitability study to be sure before buying one, okay? Thanks for asking!