What Happens During The Accumulation Phase Of An Annuity?

What Happens During The Accumulation Phase Of An Annuity? During the accumulation period, the annuity earns interest and, in cases of flexible premium annuities, the annuity owner adds money in the form of additional premium payments. During this time, the value of the annuity contract grows. Annuity withdrawals are limited during the accumulation phase. What