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Non-GLB variable annuities appeal to buyers of all ages

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Recent LIMRA Secure Retirement Institute studies shows interesting differences in buyers of variable annuities with a guaranteed living benefit (GLB) rider than without the guaranteed living benefit.

The average age of those who purchased a variable annuity contract without the guaranteed living benefit is five years younger than the average age of the buyers who choose to purchase the GLB rider (57.3 versus 62.5). Buyers of variable annuities with a guaranteed living benefit are more concentrated towards pre-retiree’s.

Specially, our data show:

  • A steady 10-15 percent of premium for VA sold without GLB riders was purchased across all age groups
  • Two-thirds of those who purchase variable annuity with GLB rider are between the ages of 56 and 70

These studies, which are intended to be an industry benchmark, show the average age and average premium of annuity buyers. They highlight a wider audience age for those who purchase a variable annuity without the guaranteed living benefit. The average initial premium for VA buyers NOT electing a living benefit is $35,000 less as well.


In contrast to the variable annuity audience, the average age of indexed buyers who purchase the living benefit versus those not electing a living benefit was stable at 62.6 and 62.7 respectively. There are also no substantial differences in the average premiums either. The average age of fixed-rate annuity buyers is only about a year older at 63.5.

One reason the variable annuity without guaranteed living benefit is so popular across the ages could be that the tax deferred benefit appeals to many, not just buyer focused on retirement planning.

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