Chartered Retirement Planning Counselor (CRPC) 2025 – 400 Free Practice Questions to Pass the Exam

A Qualified Longevity Annuity Contract (QLAC) is an investment vehicle designed to help individuals secure a steady income in their later years, effectively addressing the risk of outliving their savings. The most suitable candidates for a QLAC are typically those who are healthy and have a family history of longevity. This is because these individuals are more likely to live well into their 80s and beyond and can benefit from locking in a stream of income that begins later in life, thus effectively managing their financial resources over a longer retirement period.

By purchasing a QLAC, healthy individuals with longevity in their family can mitigate the risk of depleting their retirement savings too early. With QLACs, they can defer the annuity payments until a specified age, which allows for potentially larger monthly payouts due to the longer deferral period. This structure aligns well with their financial needs, providing a safeguard against the uncertainties of life expectancy and ensuring that they have a reliable income source when they may need it the most.

In contrast, individuals who have uncertainties about future income sources might benefit from various financial strategies other than a QLAC, while those with low family health history may not need the long-term income guarantee, given their expected longevity. Individuals