The question was: Of the $2 trillion in variable and fixed annuity assets at the end of 2007, roughly what percentage was non-qualified?

a) 44%
b) 23%
c) 68%
d) 84%
e) 12%

The answer is: a). Non-qualified VA and fixed annuities accounted for $874 billion of the $2 trillion total, according to the NAVA 2008 Fact Book, as cited by Cary Lakenbach in a February 2, 2009 National Underwriter article. That equals roughly 44% of the 2007 total. The Pension Protection Act of 2006 sanctions favorable tax treatment of non-qualified combination annuities, including annuity/long term care combinations, notes Lakenbach, who is president of Actuarial Strategies, Inc., Bloomfield, Conn. see his article here