Index annuity sales for first quarter up from a year ago

First-quarter sales of index annuities hit $7 billion — down 2.1% from the fourth quarter but up 22.8% from a year earlier, according to research from AnnuitySpecs.com.
MAY 18, 2009
First-quarter sales of index annuities hit $7 billion — down 2.1% from the fourth quarter but up 22.8% from a year earlier, according to research from AnnuitySpecs.com. The Pleasant Hill, Iowa-based research firm surveyed 50 carriers, making up 99% of index annuity production. Aviva USA continued to hold on to its position as the top seller of annuities, despite the Des Moines, Iowa-based carrier’s attempts to stanch inflows so as to control the amount of capital that it must deploy toward new sales. The insurer’s American Investors Income Select Bonus was the top-selling index annuity for the third consecutive quarter, according to AnnuitySpecs.com. Although index annuities are experiencing a resurgence, some carriers have pulled out of the capital-intensive business: 13 insurers have exited from the index annuity market since the fourth quarter, according to AnnuitySpecs.com. Index life sales haven’t enjoyed the same level of success as their annuity counterparts. First-quarter sales of index life were $105.5 million, down 33% from the previous quarter and up 14% from a year earlier. Some providers pulled back from the market due to pricing problems with the revised 2001 Commissioners Standard Ordinary mortality table, according to Sheryl Moore, president and chief executive of AnnuitySpecs.com. Still, she expects a gain in sales as both providers and agents become accustomed to selling the new 2001 CSO universal life products. Although Aviva has a 25% share of the market, the top-selling product came from Pacific Life Insurance Co. of Newport Beach, Calif., with its Indexed Accumulator III.

Latest News

Carson, Lido strengthen RIA networks with bicoastal deals
Carson, Lido strengthen RIA networks with bicoastal deals

Carson is expanding one of its relationships in Florida while Lido Advisors adds an $870 million practice in Silicon Valley.

Goldman gets shareholder backing on $80M executive bonus packages
Goldman gets shareholder backing on $80M executive bonus packages

The approval of the pay proposal, which handsomely compensates its CEO and president, bolsters claims that big payouts are a must in the war to retain leadership.

Integrated Partners, Kestra welcome multigenerational advisor teams
Integrated Partners, Kestra welcome multigenerational advisor teams

Integrated Partners is adding a husband-wife tandem to its network in Missouri as Kestra onboards a father-son advisor duo from UBS.

Trump not planning to fire Powell, market tension eases
Trump not planning to fire Powell, market tension eases

Futures indicate stocks will build on Tuesday's rally.

From stocks and economy to their own finances, consumers are getting gloomier
From stocks and economy to their own finances, consumers are getting gloomier

Cost of living still tops concerns about negative impacts on personal finances

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.