Sales of U.S. fixed annuities stood at an estimated $16.4 billion in the second quarter, 9.2% lower than the same period one year ago, according to the Beacon Research Publications Inc. Fixed Annuity Premium Study.
On a year-to-date basis, total market sales were an estimated $30.1 billion, down 13.8% from the first half of 2006.
However, sales of fixed annuities were up 20% for the second quarter.
Sales of immediate and indexed annuities were up 23.8% and 1.6% respectively, compared to the first six months of 2006.
Book value products were down 23.3% and market-value-adjusted (MVA) products dropped 10.8%, compared to the first half last year.
The second quarter was characterized by a shift toward longer-rate terms in both book value and MVA products.
The study, which was compiled by Beacon Research Publications Inc. of Evanston, Ill., is based on sales of 49 insurance companies representing an estimated 88% of the market.