Indexed annuity sales increased 8.3% from the first quarter to the second, Beacon Research reported on Sept. 6. Income annuities also increased, rising 6.1%. According to Beacon, this is the second-best quarter ever for both products.
Total fixed annuity sales rose 1% in the second quarter, but were down more than 17% from the same period a year ago.
“Both indexed annuities with GLWBs and lifetime payout immediate/deferred income annuities provide much-needed guaranteed retirement income,” Jeremy Alexander, CEO of Beacon Research, said in a statement. “Carriers also may have emphasized sales of both product types over fixed-rate annuities because their profitability was somewhat less affected by second quarter’s record-low interest rates.”