Stories Help People Understand Annuities: Economists
August 27, 2019 by Allison Bell
Three economists have come up with hard evidence: Stories really do help consumers understand retirement planning concepts.
The economists tested that idea by showing consumers a written vignette, or a video vignette, and then giving them a quiz.
The consumers who saw the annuity vignettes received an average score of 87% on the annuity quiz. Members of the control group, who received no extra information about annuities, earned an average score of 77%.
For the quiz on Social Security claiming strategies, vignettes increased the average score to 90%, from 76%.