Updated: Oct 24, 2019
Annuity Sales ‘On An Upswing’; Second Quarter Data Confirms
Total annuity sales were up 5.2% in the second quarter of 2019, according to Beacon Research and Morningstar sales data.
Sales were also higher than year ago levels, up 6.7 percent from total annuity sales of $56.9 billion in the second quarter of 2018.
According to Beacon Research, fixed annuity sales continue their long-term upward trend.
“Annuity sales appear to be on an upswing, driven by consumer need and a growing awareness of the importance of allocating a portion of savings to annuity products, which can guarantee lifetime income and protect against market downturns," said IRI President and CEO Wayne Chopus.
“Fixed indexed annuity sales reached a new record high in the second quarter,” said Beacon Research CEO Jeremy Alexander. “As Americans increasingly seek higher potential yields, safety of principal, and the ability to create an income stream they cannot outlive, we expect fixed indexed sales to continue to grow and product issuers to innovate in order to deliver the protection, growth and income consumers demand.”
For the entire fixed annuity market, there were approximately $20.7 billion in qualified sales and $15 billion in non-qualified sales during the second quarter of 2019.