Indexed annuities sales increased by over $5 billion in 2013

Indexed annuities, a fixed annuity that provides a minimum guaranteed rate of interest combined with an interest rate tied tied to movement of an index, accounted for 46.3% of all fixed annuities sold and 27% of total annuities sold in 2013, according to most recent data from LIMRA. Sales of indexed annuities increased by an estimated $5.4 billion in 2013, representing a 17% hike in volume, more than any other form of annuity. According to the same data, sales of variable annuities fell by 1 percent. As of the end of the third quarter, Allianz Life led all insurers in the sale of indexed annuities, with a 13.7% market share. Security Benefit Life (12.3%) and American Equity (11.0%) fell close behind. For more on annuities, visit our most recent special report on the subject