State Farm has agreed to have its agents distribute some variable and indexed annuities from Jackson National Life Insurance Company starting in the second half of 2019.
State Farm is already distributing its own fixed annuities through its agents. The new alliance will give State Farm agents a chance to offer a stronger annuity menu, Jackson said Wednesday.
Jackson is a Lansing, Michigan-based unit of Prudential PLC of London. Prudential PLC has no connection with Prudential Financial Inc. of Newark, New Jersey.
Barry Stowe, chief executive officer of Jackson, said in a statement about the alliance that both Jackson and State Farm are committed to helping consumers prepare for life after work.
“We look forward to working together to provide quality products to consumers who want and need to protect their financial futures,” Stowe said.
Jackson said it expects to distribute a “select group” of its annuities through “authorized State Farm agents.”
State Farm is best known as a property-casualty insurer, but it also sells life products. In 2011, the company gave the American College $2.8 million to start a Center for Women and Financial Services.
Before the U.S. Department of Labor released its fiduciary rule regulations, State Farm agents were selling State Farm mutual funds. State Farm responded to the fiduciary rule effort by pulling its agents out of the mutual fund sales effort. In 2016, when State Farm announced that move, it said two-thirds of its 18,000 agents were selling investment products.
— Read State Farm Supports American College, on ThinkAdvisor.