Top Seller Of Indexed Annuities Loses Ranking After A Decade Of Leading

DES MOINES, Iowa, Aug. 27, 2020 /PRNewswire/ -- Wink's Sales & Market Report is the insurance industry's #1 resource for annuity sales data since 1997. Sixty-three indexed annuity providers, 43 fixed annuity providers, 62 multi-year guaranteed annuity (MYGA) providers, 13 structured annuity providers, and 47 variable annuity providers participated in the 92^nd edition of Wink's Sales & Market Report for 2^nd Quarter, 2020.

Total second quarter sales for all deferred annuities were $45.9 billion; a decline of 12.8% when compared to the previous quarter and a decline of 21.2% when compared to the same period last year. "The last time that Athene was the top seller of indexed annuities was 11 years ago," said Sheryl J. Moore, President and CEO of both Moore Market Intelligence and Wink, Inc. "The former frontrunner has been dethroned after more than a decade in their top-ranking position!"

Noteworthy highlights for all deferred annuity sales in the second quarter include Jackson National Life ranking as the #1 carrier overall for deferred annuity sales, with a market share of 7.5%. New York Life followed in second place, while Massachusetts Mutual Life Companies, Lincoln National Life, Equitable Financial rounded-out the top five carriers in the market, respectively. Jackson National's Perspective II Flexible Premium Variable & Fixed Deferred Annuity, a variable annuity, was the #1 selling deferred annuity, for all channels combined in overall sales for the sixth consecutive quarter.

Total second quarter non-variable deferred annuity sales were $25.7 billion; down 4.8% when compared to the previous quarter and down 22.2% when compared to the same period last year. Non-variable deferred annuities include the indexed annuity, traditional fixed annuity, and MYGA product lines.

Noteworthy highlights for non-variable deferred annuity sales in the second quarter include Massachusetts Mutual Life Companies ranking as the #1 carrier overall for non-variable deferred annuity sales, with a market share of 10.3%. New York Life moved into second place, while Sammons Financial Companies, Athene USA, and Global Atlantic Financial Group rounded out the top five carriers in the market, respectively. Massachusetts Mutual Life's Stable Voyage 3-Year, a multi-year guaranteed annuity, was the #1 selling non-variable deferred annuity, for all channels combined. 

Total second quarter variable deferred annuity sales were $20.1 billion; a decline of 21.4% when compared to the previous quarter and a decline of 19.9% when compared to the same period last year. Variable deferred annuities include the structured annuity and variable annuity product lines.

Noteworthy highlights for variable deferred annuity sales in the second quarter include Jackson National Life ranking as the #1 carrier overall for variable deferred annuity sales, with a market share of 16.3%. Equitable Financial retained their second-place position, as Lincoln National Life, Brighthouse Financial, and Prudential rounded-out the top five carriers in the market, respectively. Jackson National's Perspective II Flexible Premium Variable & Fixed Deferred Annuity, a variable annuity, was the #1 selling variable deferred annuity, for all channels combined, in overall sales for the sixth consecutive quarter.

Indexed annuity sales for the second quarter were $12.8 billion; down 21.8% when compared to the previous quarter, and down 34.8% when compared with the same period last year. Indexed annuities have a floor of no less than zero percent and limited excess interest that is determined by the performance of an external index, such as Standard and Poor's 500^®.

Noteworthy highlights for indexed annuities in the second quarter include Athene USA gaining the #1 ranking in indexed annuities, with a market share of 11.0%.  Allianz Life moved into second-ranked position while Fidelity & Guaranty Life, AIG, and Sammons Financial Companies rounded-out the top five carriers in the market, respectively. Allianz Life's Allianz 222 Annuity was the #1 selling indexed annuity, for all channels combined, for the twentieth consecutive quarter.

Traditional fixed annuity sales in the second quarter were $425.7 million; sales were down 38.4% when compared to the previous quarter, and down 51.2% when compared with the same period last year. Traditional fixed annuities have a fixed rate that is guaranteed for one year only.

Noteworthy highlights for traditional fixed annuities in the second quarter include Modern Woodmen of America ranking as the #1 carrier in fixed annuities, with a market share of 16.0%. EquiTrust ranked second, while Global Atlantic Financial Group, Jackson National Life, and Brighthouse Financial rounded-out the top five carriers in the market, respectively. EquiTrust ChoiceFour with Liquidity Rider was the #1 selling fixed annuity, for all channels combined.

Multi-year guaranteed annuity (MYGA) sales in the second quarter were $12.5 billion; up 25.6% when compared to the previous quarter, and down 0.3% when compared to the same period last year. MYGAs have a fixed rate that is guaranteed for more than one year.

Noteworthy highlights for MYGAs in the second quarter include Massachusetts Mutual Life Companies ranking as the #1 carrier, with a market share of 20.3%.  New York Life moved to the second-ranked position, as Sammons Financial Companies, Global Atlantic Financial Group, and Symetra Financial rounded-out the top five carriers in the market, respectively. Massachusetts Mutual Life Stable Voyage 3-Year was the #1 selling multi-year guaranteed annuity for the third consecutive quarter, for all channels combined. Moore added, "It is interesting to see that MYGA sales increased double-digits, while indexed annuity sales declined similarly; this is a new trend."

Structured annuity sales in the second quarter were $4.5 billion; down 7.1% as compared to the previous quarter, and up 9.3% as compared to the previous year. Structured annuities have a limited negative floor and limited excess interest that is determined by the performance of an external index or subaccounts.

Noteworthy highlights for structured annuities in the second quarter include Lincoln National Life ranking as the #1 carrier in structured annuities, with a market share of 23.4%. Lincoln National Life Level Advantage B Share was the #1 selling structured annuity for the second consecutive quarter, for all channels combined.

Variable annuity sales in the second quarter were $15.6 billion, a decline of  24.7% as compared to the previous quarter and a decline of 25.6% as compared to the same period last year. Variable annuities have no floor, and potential for gains/losses that are determined by the performance of the subaccounts that may be invested in an external index, stocks, bonds, commodities, or other investments.
Noteworthy highlights for variable annuities in the second quarter include Jackson National Life holding-on to their ranking as the #1 carrier in variable annuities, with a market share of 21.1%. Equitable Financial ranked second, while Lincoln National Life, Prudential, and New York Life rounded-out the top five carriers in the market, respectively. Jackson National's Perspective II Flexible Premium Variable & Fixed Deferred Annuity was the #1 selling variable annuity for the sixth consecutive quarter, for all channels combined.

"Everyone saw these sales declines coming from a mile away," stated Moore. "As everyone continues adjusting to COVID-friendly selling, and the 10-year Treasury remains minuscule, sales are going to continue to be challenged," she explained. 

Wink reports on indexed annuity, fixed annuity, multi-year guaranteed annuity, structured annuity, variable annuity, and multiple life insurance lines' product sales. Sales reporting on additional product lines will follow in the future.

For more information, go to www.WinkIntel.com  

Wink, Inc. is the company behind the most comprehensive life insurance and annuity due-diligence tools, AnnuitySpecs and LifeSpecs at www.WinkIntel.com. Wink, Inc. is the distributor of the quarterly Wink's Sales & Market Report. Serving as the insurance industry's #1 resource of indexed insurance product sales since 1997, this report provides sales by product, company, crediting method, index, distribution, surrender charge period, and more. Wink's Sales & Market Report expanded to cover all deferred annuity products in 2015, all deferred variable annuity products in 2019 and all non-variable cash value life insurance products in 2017.

The staff of Wink, Inc. has the combined experience of more than 175 years working with insurance products, more than a decade of which is specific to competitive intelligence. Based in Des Moines, Iowa, the firm offers competitive intelligence and market research in the life insurance and annuity industries; serving financial services professionals, distributors, manufacturers, regulators, and consultants on both a domestic and global basis.

Sheryl J. Moore is president and CEO is the guiding force behind Wink, Inc. Ms. Moore previously worked as a market research analyst for top carriers in the life insurance and annuity industries. Her views on the direction of the market are frequently heard in seminars and quoted by industry trade journals.

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