Annuities are an extremely strong and popular product for securing a regular income for retirement. Since they guarantee you a payment until your death (and/or the death of your dependent), they provide security and stability. In addition, there are strong tax breaks associated with annuities. There are several annuity options available, and it is possible to design annuities in multiple ways to build a product that is most likely to meet your needs.
Annuities can be set up to provide a guaranteed monthly payment for you and/or your dependent for a set amount of time, even if you die. With guaranteed annuities the monthly payments will continue to be made even if all annuitants die (paid to your estate, for example).
The only risk associated with annuities is if you die much earlier than expected, and if you did not have a guarantee then the money tied up in the annuity would not be passed on to your estate. Other risks would be if you have an investment-linked annuity and the investment performed poorly, there is a possibility that your payment could decrease (but it could also increase). Other risks would be putting too much of your available savings into an annuity and thereby tying up too much of your available funds for emergencies.