Forty-one indexed annuity carriers participated in the 57th edition of AnnuitySpecs.com’s
Indexed Sales & Market Report, representing 99% of indexed annuity production. Total third quarter sales were $8.7 billion, up over 5% from the previous quarter. As compared to the same period last year, sales were down less than 1%.
“This was the second-highest quarter ever in terms of indexed
annuity sales,” said Sheryl J. Moore, President and CEO of AnnuitySpecs.com.
“Many would predict that historical-low rates on indexed annuities would be
fodder for sales declines, but one should not underestimate the power of
guaranteed lifetime income that the purchaser cannot outlive. Because of that
value proposition, consumer’s quest for retirement products with guarantees,
and indexed annuities’ relatively competitive rates [as compared to other fixed
rate savings instruments], indexed annuities now account for one out of every
two fixed annuity sales- unbelievable!”
Worth noting this
quarter was the fact that Allianz Life maintained their position as the #1
carrier in indexed annuities with a 17% market share. Aviva took the position
as the second-ranked company in the market, while American Equity, Great
American (GAFRI) and Lincoln National Life rounded-out the top five,
respectively. Allianz Life’s MasterDex X was the #1 selling indexed annuity for
the tenth consecutive quarter.
For indexed life sales,
37 insurance carriers participated in the AnnuitySpecs.com’s Indexed Sales
& Market Report, representing over 99% of production. Third quarter
sales were $251.1 million, an increase of nearly 20% over the previous quarter.
As compared to the same period in 2010, sales were up over 51%. Moore remarked,
“I have never seen more activity in the indexed life market since the product
was first introduced.”
She went on to comment, “I have had seven new insurance
companies enter the indexed life market in the past four months! With this
quarter’s record sales fueling additional interest in the product line, I
anticipate the number of companies offering IUL to increase exponentially in
the coming year.”
Items of interest in
the indexed life market this quarter include AXA Equitable capturing the #1
position in indexed life with an 18% market share. Aviva took the position as
second-ranked company in the market, while Pacific Life Companies, AEGON
Companies, and National Western rounded-out the top five, respectively. AXA
Equitable’s Athena Indexed UL was the #1 selling indexed life insurance product
for the second consecutive quarter.
For more information go to www.IndexedAnnuityNerd.com
The staff at AnnuitySpecs.com
have over a decade of experience working with indexed
insurance products. They provide services in speaking, research, training,
product development, and marketing of indexed life and indexed annuities. Their
knowledge in product filing research and policy forms analysis gives them the
expertise to provide competitive intelligence that allows carriers to stay
ahead of their competition.
Sheryl J. Moore
president and CEO of this specialized third-party market research firm and
the guiding force behind the industry’s most comprehensive indexed life and
indexed annuity due diligence tools, AnnuitySpecs.com and LifeSpecs.com. Ms.
Moore previously worked as market research analyst for top carriers in the
indexed life and annuity industries. Her views on the direction on the indexed
market are frequently heard in seminars and quoted by industry trade journals.
She is the author of the quarterly AnnuitySpecs.com’s Indexed Sales &
November 15, 2011
Pleasant Hill, IA