LIMRA International.LIMRA LIMRA Life Insurance and Market Research Association (now LIMRA International, Inc.) International reported that sales of variable annuities Variable annuities
Investment contracts whose issuer pays a periodic amount linked to the investment performance of an underlying portfolio. fell 15% in 2008 to $155 billion, compared to 2007's record $184 billion in sales. In the fourth quarter alone, VA sales dropped 30% to $33.6 billion. However, fixed annuity Fixed Annuity
An insurance contract in which the insurance company makes fixed dollar payments to the annuitant for the term of the contract, usually until the annuitant dies. The insurance company guarantees both earnings and principal. sales jumped 79% in the fourth quarter of the year and 50% for all of 2008, from $72.8 billion in 2007 to $109.4 billion in 2008. The fixed annuity sales kept overall annuity sales in the black, posting a 3% gain for the year. The fixed annuity type seeing the biggest gain was market value-adjusted products, whose sales grew 135% in 2008, to $18.3 billion. Fixed deferred annuities Deferred annuities
Tax-advantaged life insurance products. Deferred annuities offer deferral of taxes with the option of withdrawing one's funds in the form of a life annuity. still accounted for the most sales, showing a 58% jump to $95.1 billion in sales.