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Unit refund annuity is an Annuity payout option, which will make payments to the annuitant for life. If the annuitant dies prior to receiving an amount that is equal to their account value, the balance of the account will be paid to their beneficiaries.
Investors who purchases an annuity can select a number of payout and benefit options. An investor who wants to insure that the total value of their account will be paid out to their beneficiaries in the event of their death would select a unit refund option.