What makes me run away at the mention of annuities is this Vanguard statement or similar ones on all I looked at (and I consider myself a Vanguard advocate overall):

* Product guarantees are subject to the claims-paying ability of the issuing insurance company. The underlying risks, financial obligations, and support functions associated with the products are the responsibility of the issuing insurance company. The issuing insurance company is responsible for its own financial condition and contractual obligations.. If the insurance company goes TU, you're SOL on any guarantee.

Sure there are no guaranties on equities or bonds either but they're not touting a guaranteed return either:

I recommended the invest in a product that would give him 6% guaranteed.