Hi Guys, reading example 8 reads:

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1.) What is a GIC?

2.) since it’s paying $100k with 8% return rate, does that mean that after year 6, this GIC will start accruing 8% interest annually? So the insurance company will be paying interest on this $100k?

3.) The fact that the insurer pays 8% and the insurer must invest a PV at 8% is a concidence or is this implying the market interest rate is 8%?