Variable annuity sales posted record highs in the second quarter of 2010, the Insured Retirement Institute reports. A LIMRA report earlier this month also showed growth in variable annuities, reporting double digit growth in the second quarter.
Year-to-year sales of variable annuities advanced at their “greatest pace since 2007,” IRI reports, and estimated sales of indexed and income annuities were at their strongest since 2003 when Beacon Research, IRI’s partner in the report, began conducting the survey.
According to the IRI report, total annuity sales were at nearly $54 billion, up from $47.4 billion in the first quarter. However, year-to-year quarterly sales fell almost 10% from $59.6 billion in 2009.
Variable annuity sales rose 9% to $34.4 billion, according to IRI. Year-to-year quarterly sales increased as well, rising over 8% from 2009.
Fixed annuity sales increased almost 18% from the first quarter to $19.4 billion, despite year-to-year sales falling over 30%. Jeremy Alexander explains why the product was so successful in the second quarter.