Annuity is defined as a financial product to be sold by a financial organization that is specifically designed in older to accept and obtain funds from people and thereafter, on annuitizing them, pay a part of payments in future in the late time. Primarily the annuities are useful for delivering a safe and secure flow of cash for people at their time of retirement. The structure of the annuities depends upon the large variety of available details as well as factors. Some of those being the time duration for which the payments will continue from annuity . Annuity could be developed so that, on annuitization, all payments would continue till the time when either the annuitant is alive or in the other case till his/her spouse is lie. The annuities could also be structured in such a way as to pay all the funds for a particular spam of time like say, for 20 years, with considering the time for which the annuitant is alive. Therefore, we can annuities such that they provide either fixed type of payments to the annutants periodically or provide variable payments. Variable annuities allows an individual get large amount of payments in case if all is well with the investments of the annuity funds and small payments in case the investment funds works poorly. This results in lesser stability of cash flow as compared to a fixed annuity. The variety of ways by which these annuities could be structured allows individuals the capability to seek annuities as per their needs and requirements.