LIMRA: Q2 Annuity Sales Rise

Variable annuities show double-digit growth.

Total annuity sales increased 11% from the first quarter of 2010, the first quarterly increase since the fourth quarter of 2008, LIMRA reported. Year-to-date sales topped $108 billion.

Variable annuity sales are up in the second quarter, increasing 11% to $35.5 billion compared to the prior year. Sales also increased 10% over the first quarter of 2010. Total sales for the first six months of 2010 are nearly $70 billion.

Indexed annuities increased, as well, driven by market volatility and low interest rates, according to LIMRA. After a dip in sales in the first quarter, "second quarter indexed annuity sales matched the record levels hit in the second quarter of 2009" at $8.2 billion.

While fixed annuity sales are down 26% compared to the prior year, sales improved 13% over last quarter, totaling $40.5 billion year-to-date.

LIMRA also announced the top 20 annuity writers for the second quarter. Topping the list is Prudential, which sold nearly $11 billion in overall annuity sales. Prudential also topped the list of variable annuity sellers. New York Life was the top fixed annuity seller for the second quarter, with $3.7 billion in sales.

Read a story about using annuities in 401(k)s from the archives of InvestmentAdvisor.com.

View LIMRA's list of top 20 annuity sellers for the second quarter.

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