Third quarter annuity sales results were released last month. LIMRA has released multiple reports detailing the annuity sales totals and the companies selling the most annuity products. During the third quarter of 2014, annuity sales totaled $58.2 billion. This total was a 2% decline from the first quarter of 2013. The total for the first three quarters of this year was $177.7 billion, which is 6% higher than annuity sales during the first nine months of last year. The variable annuity sales leader remained Jackson National Life Insurance Company. They sold $18.4 billion of variable annuities. Allianz Life of North America had the highest fixed annuity sales with a total of $9.7 billion.
In “The Top 10 Annuity Writers for Q3 2014,” LifeHealthPro’s Daniel Williams lists the sales leaders as determined by LIMRA. Jackson National Life’s top variable annuity sales of $18.4 billion led them to the highest overall annuity sales as well. Their annuity sales total was $19.5 after adding in their fixed annuity sales of $1.1 billion. Jackson obviously has a strong focus on variable annuity products. Their focus allows them to be innovators in the industry and helps secure their top spot in nearly every quarter. AIG had the second highest annuity sales with $14.2 billion in total annuity sales. They sell approximately twice as much in variable annuities as they do in fixed annuity products. AIG’s variable annuity sales were $9.6 billion and their fixed annuity sales were $4.5 billion.
Lincoln Financial Group is another insurer that focuses mostly on variable annuity products. They took the third spot with total annuity sales of $11.7 billion. Lincoln’s variable annuity sales were $9.7 billion, while they sold $1.9 billion in fixed annuities. The top fixed annuity seller, Allianz Life of North America, had the fourth highest total annuity sales. Their $9.7 billion in fixed annuities helped the company sell a total of $11.4 billion. Allianz Life’s variable annuity sales were $1.7 billion. The fifth spot in highest annuity sales went to TIAA-CREF. This insurer does not sell fixed annuities, so their $9.3 billion in total annuity sales all came from variable annuity products. New York Life had the sixth highest total annuity sales with $8 billion. They sell about twice as many fixed annuities as they do variable annuity products. New York Life’s variable annuity sales were $2.8 billion, while their fixed annuity sales totaled $5.2 billion.
Prudential Annuities is another insurer that focuses on variable annuity products. Their total annuity sales of $8 billion earned them the seventh spot in the top 10 list. Prudential sold $7.5 billion of variable annuities. The eighth spot went to Transamerica with total annuity sales of $7.4 billion. Nearly all of their annuity sales also come from variable annuity products. The insurer sold $7.3 billion of variable annuity products. AXA US had the ninth highest total annuity sales of $7.2 billion. All of these sales were from variable annuities. MetLife rounded out the top 10 annuity sellers for the 3rd quarter of this year. Their total annuity sales were $6.8 billion. Variable annuities accounted for $4.7 billion of that total, while fixed annuities made up the remaining sales. Despite the fact that many insurers in the top 10 list focus much or all of their attention on variable annuity products, fixed annuities are accounting for the majority of annuity sales increases.