this post was submitted on 18 Feb 2025
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I have a medical malpractice annuity that pays out every month and goes up 2% compounded every year. I live in another country where cost of living is way lower than in the US and am worried that rapid inflation in the US or just overall instability will lead my annuity to be practically useless. Are these worries baseless?

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[–] iii@mander.xyz 5 points 4 days ago (1 children)

With a guaranteed annuity growing at 2% year over year, it's your local inflation that you should be worried about.

If your annuity is denominated in USD, and your local currency differs, you should also worry about the currency conversion rate.

But, in the last decade, USD's relative worth has only grown compared to most major other currencies. A mercantillist US (tarrifs) will make foreign accessibility to USD harder, so I expect USD to further increase compared to other currencies.

[–] ThePiedPooper@discuss.online 2 points 4 days ago (1 children)

Thank you for the answer! I get paid in USD.

What are the chances that the company servicing my annuity goes bankrupt? My annuity is guaranteed, but I'm not really sure what that means in the scheme of things.

[–] iii@mander.xyz 2 points 4 days ago (1 children)

What are the chances that the company servicing my annuity goes bankrupt?

Will depend on that company. Probably an insurance company?

[–] ThePiedPooper@discuss.online 2 points 4 days ago

Yep, one of the top 10 in the US