What You Need to Know
- Variable annuities without living benefits accounted for 66% of Ameriprise variable annuity sales.
- Life sales shifted toward variable universal life and away from indexed universal life.
- Ameriprise long-term care insurance mortality and terminations returned to pre-pandemic levels
Ameriprise Financial Inc. is still adjusting its sails for the low-interest-rate winds.
The Minneapolis-based financial services company said Tuesday that it continues to shift toward selling more variable universal life insurance and variable annuities without living benefits guarantees. It’s moving away from guarantee-heavy products such as indexed universal life and variable annuities with living benefits guarantees.
The company reported $591 million in net income for the second quarter on $3.4 billion in revenue, compared with a $539 million net loss on $2.7 billion in revenue for the second quarter of 2020.
Variable annuities without living benefits accounted for 66% of the company’s variable annuity sales, up from 64% in the first quarter.
Sales of variable universal life products with higher margins fell, and sales of indexed universal life products fell, the company said.