State the correct statement out of these.

The correct answer is D. Every pension is not an annuity.

A pension is a regular payment made to someone who has retired from work. An annuity is a contract between an insurance company and an individual, in which the insurance company agrees to make regular payments to the individual for a set period of time, usually for the rest of their life.

While all pensions are annuities, not all annuities are pensions. For example, a lump-sum payment that is made to someone who retires is not an annuity. Additionally, some annuities are not paid for by an employer, but rather by the individual themselves.

Here is a brief explanation of each option:

• Option A: Every pension is a kind of annuity. This is not always the case, as some pensions are not annuities. For example, a lump-sum payment that is made to someone who retires is not an annuity.
• Option B: Every annuity is also a pension. This is also not always the case, as some annuities are not pensions. For example, an annuity that is purchased by an individual is not a pension.
• Option C: Pension and annuity are one and the same. This is not the case, as pensions and annuities are two different things. While all pensions are annuities, not all annuities are pensions.
• Option D: Every pension is not an annuity. This is the correct answer, as not all pensions are annuities.