When does the beneficiary of a deferred annuity receive a payment?

In a deferred annuity, the payment to the beneficiary occurs upon the death of the owner or annuitant. This means that if the annuitant passes away before the payout phase begins, the designated beneficiary is entitled to receive the death benefit associated with the annuity. This is structured to provide financial security and support for loved ones after the annuitant's death.

The design of a deferred annuity is such that it accumulates value over time, but payments intended for the beneficiary are contingent upon the annuitant's death. This option highlights the primary purpose of a beneficiary in the context of an annuity, which is to ensure that the assets are passed on to a chosen individual, providing them with the financial support intended by the original owner.

The other scenarios do not align with when a beneficiary would receive payments. Payments upon retirement or at the end of the accumulation period pertain to the annuitant's direct benefits rather than those that go to a beneficiary. Additionally, a beneficiary receiving payments upon their own death is not relevant in the context of the original contract and the relationship established with the annuity.