The prospect of selling annuities online in the U.S. will be more common soon, as the Life Insurance Marketing Research Association (LIMRA) expects fixed-rate deferred annuity sales to increase by 25% next year.
The forecast growth seems good news for agents as it will continue the momentum from previous months. Industry experts said that demand from the second quarter of 2018 caused sales of fixed annuities to reach almost $32 billion.
What You Need to Sell
Those who are interested in selling fixed annuities need to procure a life insurance license in their respective state. Representation is essential as well, so consider joining an insurance field marketing organization that has extensive familiarity with the five common fixed annuities.
Aside from fixed-rate annuities, these products comprise the single premium immediate annuities, deferred income annuities, qualified longevity annuity contracts and fixed index annuities. Choose a group that complies with the standards of the National Association of Insurance Commissioners, which oversees all state insurance departments. As interest rates increase in the U.S., most investors are inclined to put their money from their bank savings accounts into money funds.
Beacon Research said that all product types of fixed annuities increased during the second quarter. The trend reflected the consumers and investors’ preference for safe and guaranteed income.
Todd Giesing, LIMRA Secure Retirement Institute annuity research director, said that sales of fixed-rate deferred annuities would continue to be strong in the second half of 2018, following $104.3 billion of total annuity sales in the first half. If you plan on becoming an agent, now’s a good time to prepare your strategy by having the right resources and support.
When choosing an insurance field marketing organization to help you with annuity sales, it’s essential to work with companies that offer the best contracts with the leading insurers in the U.S. These groups usually have more than two decades of experience and serve thousands of independent insurance agents.