retirees
Strong 2011 annuity sales: LIMRAPosted by RJ and Makay on Feb 17, 2012 |
>> Read More RJ & Makay Blog Posts
Total annuity sales reached $240 billion in 2011, an increase of 8% compared to 2010, according to LIMRA’s fourth quarter 2011 U.S. Individual Annuities Sales survey. After six straight quarters of positive growth when compared to the prior year, fourth quarter 2011 Variable Annuity (VA) sales were flat. Q4 VA sales, at $38.4 billion, were down 4% compared to Q3 2011. Overall 2011 VA sales grew 13% to reach $159.3 billion.
Fifty-five million retirees will receive a 3.6% cost-of-living (COLA) increase this January, the U.S. government announced yesterday. The COLA adjustment is the first since 2009 and will also apply to eight million Americans participating in the Supplemental Security Income program that aides the blind and disabled.
35% of all retirees are receiving income from an annuity during their retirement, according to a recent study by the Life Insurance and Market Research Association (LIMRA). The report indicates that the likelihood of taking income from an annuity increases with age. The study found that only 19% of retirees under the age of 65 receive annuity income, whereas 49% of retirees age 75-79 do so.
