Defined terms for the annuity market and lifetime income landscape.
A subaccount is an investment option within a variable annuity contract, structurally analogous to a mutual fund, in which contract owner premiums are invested and from which the contract's accumulation value derives, with investment risk borne by the contract owner rather than by the carrier. Why it matters The subaccount is the structural mechanism by which a variable annuity exposes the contract owner to investment risk. The contract's accumulation value reflects subaccount per
