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The simulations have been run and the numbers have been crunched: annuities help improve retirement outcomes compared to investments alone. This is according to new research commissioned by Principal Financial Group ® and conducted by Michael Finke, Ph.D., CFP ®, and Wade Pfau, Ph.D., CFP ®. “Workers show strong interest in guaranteed income 1, but one-third of…
Read moreAnnuity sales rebounded in a big way throughout 2018, Wink reports. For example, total non-variable deferred annuities sales were $113.6 billion, an increase of 29.1 percent over 2017. Non-variable deferred annuities include the indexed annuity, traditional fixed annuity, and MYGA product lines.
Ohio National tells a federal judge that “and” is the key word in its selling agreements. If the judge agrees, then the insurer’s controversial decision to end trail commissions on certain variable annuity contracts might stand.
Even if the stock market rebounds from last year, a fixed indexed annuity still provides more retirement income than the same investment in the S&P 500. The major drawback is liquidity, but this is where an advisor can make the difference through effective planning.
Kevin Hogan, head of insurer AIG’s Life & Retirement division, discusses living to 100 and planning for retirement
Massachusetts Mutual Life Insurance, a life insurance company, issued the following news release:. As the growth of its pension risk transfer business accelerates, Massachusetts Mutual Life Insurance Company has enhanced its website to serve PRT annuitants, improving navigation, providing more self-service features and information, and offering mobile…
The Great American Insurance Group, a property and casualty insurance company, issued the following news release:. These new products offer indexed strategies linked to well-known indexes and ETFs, including the S&P 500 (R), iShares U.S. Real Estate ETF, and iShares MSCI EAFE ETF, providing upside potential in diverse markets with complete protection against…
If you are planning to retire sometime in the next several years, then you should stress test your plans— living arrangements, retirement portfolio and income and anticipated leisure pursuits— because retirement is like your first days in kindergarten, full of surprises. In our 40 s and 50 s, as the pressures of college tuition, aging parents perhaps approaching…
Saving for future goals is not easy. Hopefully, I can help explain the differences between two commonly used tools: certificates of deposit and Deferred Annuities. CDs are issued by commercial banks or credit unions and are guaranteed by the Federal Deposit Insurance Corp. or National Credit Union Administration.
More than half of Americans say they’ d earn a“ C” or lower when it comes to financial literacy, according to a new survey conducted by Harris Poll on behalf of Prudential Financial, Inc.. “Our industry needs to drive home the importance of financial education, and lead the way in providing it, to help clear a path toward financial wellness,” said Caroline Feeney, head of…
Judge Denise J. Casper ruled that an addendum to the Ohio National selling agreement commits them to arbitration with Commonwealth Equity Services. The broker-dealer is challenging Ohio National’s decision to end trail commissions on a specific variable annuity.
NEWPORT BEACH, Calif. and NEW YORK, April 9, 2019/ PRNewswire/– Pacific Life and InsurTech firm Blueprint Income, today announced a collaboration to modernize the purchase of annuities. “We’ve heard a clear desire— especially among Generation X— to have the security of a pension that their parents relied on to achieve financial peace of mind,” said Blueprint Income…
Overall annuity sales rose 9.7 percent in 2018, with the combined sales of fixed and variable annuities reaching $218 billion, according to the Insured Retirement Institute (IRI), citing final 2018 market data for the U.S. annuity industry from Beacon Research and Morningstar.
While the Department of Labor fiduciary rule is gone, tossed out by a federal appeals court one year ago, the compliance spotlight it shone on commission annuity sales remains. If the industry doesn’t figure out how to effectively provide distribution of annuities via advisory channels, “sales are just going to fall off a cliff,” one executive says.
The annuity sales landscape changed in a major way in 2018. Sales rebounded strongly in virtually every product line, in some cases 40 to 50 percent year-over-year. Fixed annuities led the way.
Indexed annuities are positioned for significant growth, while the market share for variable annuities will continue to erode, LIMRA Secure Retirement Institute’s five-year analysis predicts.
To help clients navigate the sometimes-confusing required minimum distribution process while also enhancing their financial legacy, Allianz Life Insurance Company of North America today announced the launch of its Legacy by Design℠ fixed index annuity solution. Legacy by Design is a combination of two FIAs that work together to systematically and…
The Wisconsin Lottery says a single ticket that matched all six Powerball numbers to win the third-largest jackpot in U.S. lottery history was sold in a Milwaukee suburb. The ticket worth an estimated $768.4 million, or a cash option of $477 million, was sold in New Berlin. The city of about 40,000 people is roughly 14 miles (22.5 kilometers) southwest of Milwaukee. Lottery officials didn’t immediately identify the retailer that sold the ticket. The retailer will receive a $100,000.
A survey of 1,000 middle-income Americans with household incomes between $29,000 and $106,000 was completed in February and found that many families are not taking steps toward a secure future. Only half of middle-income Americans believe their financial security will improve in the next five years.
–Vernon Litigation Group recently filed a significant FINRA arbitration claim against Cuso Financial Services. Based on the foregoing, a FINRA arbitration claim was filed last month in Texas on behalf of the client against Cuso, including allegations of breach of fiduciary duty and negligence and supervision lapses. Previously, Vernon Litigation Group did…
“We see fixed index annuities as a huge opportunity to expand our leadership position in the annuities market,” said Joe Boan, Transamerica Chief Sales Officer. The new Transamerica Secure Retirement Index II Annuity features the NYSE ® Expanded Opportunities™ Index, which mimics the advanced quantitative finance techniques used by Morgan Stanley…
March 24– Mar. 24– More than half a billion dollars is up for grabs Saturday night in the Powerball, making the drawing the 7th- largest jackpot in U.S. lottery history. No winner was selected Wednesday, helping to boost the Powerball jackpot to $638.8 million. This is the 4th- largest Powerball jackpot, and about a third the size of the largest lottery prize of all time, a…
In a unanimous decision, the Illinois Supreme Court has affirmed the judgment of the Illinois Appellate Court and ruled that fixed indexed annuities are not securities under Illinois state law.
–Milliman, Inc., a premier global consulting and actuarial firm, announces the results of a first-of-its-kind, industry-wide study that examines insurers’ experience with combination products– those that couple life or annuity policies with Long-Term Care or Chronic Illness riders. The study, which includes data from 11 insurers focused primarily on…
For the first time since 2007, AIG Companies has taken over as the top seller of annuities according to LIMRA Secure Retirement Institute. In addition, there are two new companies in this year’s top five compared to 2017 sales.
Ameriprise Financial issued the following news release:. Ameriprise Financial, Inc. announced today that its insurance subsidiary, RiverSource Life Insurance Company, has entered into an agreement with Commonwealth Annuity and Life Insurance Company, a subsidiary of Global Atlantic Financial Group, to reinsure approximately $1.7 billion of fixed…
Annuity sales rebounded in a big way throughout 2018, Wink reports. For example, total non-variable deferred annuities sales were $113.6 billion, an increase of 29.1 percent over 2017. Non-variable deferred annuities include the indexed annuity, traditional fixed annuity, and MYGA product lines.
The Powerball jackpot continues to climb after no one matched all six numbers in Saturday’ s drawing. According to lottery officials, it’s the eighth largest Powerball prize in history. In 2016, ticket holders in three states split a nearly $1.6 billion Powerball jackpot.
Long-term-care costs can shatter your retirement nest egg, but here are some ways to pay for these potentially big bills. Traditional long-term-care policies: These are usually the most efficient way to cover costs if you end up needing care. This tends to increase premiums by 15 percent to 30 percent per year but may make you more comfortable choosing a shorter…
PartnerRe is pleased to announce that it has entered into a transaction with The Manufacturers Life Insurance Company to reinsure longevity risk from an in-force block of Canadian group payout annuities. Alan Ryder, CEO of PartnerRe North America Life commented: “PartnerRe is excited to have partnered with a company such as Manulife in completing its first…
Nationwide Advisory Solutions launched Nationwide Advisory Retirement Income Annuity (NARIA)℠, a new variable annuity (VA) with an income guarantee designed…
William Neil “Doc” Gallagher, Gallagher Financial Group, Inc., and W. Neil Gallagher, Ph.D. The Securities and Exchange Commission announced that it has charged Texas resident William Neil “Doc” Gallagher- the self-styled “Money Doctor” featured on three Dallas- area radio stations-in an emergency action to shut down a $19.6 million Ponzi scheme targeting elderly…
March 13– Mar. 13– A North Carolina man was a bit skeptical when a caller told him he’d won a $1 million prize. “I couldn’t believe it was true,” Richard Costantino of Concord told state lottery officials when he claimed his Extreme Millions prize at lottery headquarters in Raleigh on Monday, according to a lottery news release Tuesday evening. He could choose a $1…
A new lawsuit was field Monday challenging Ohio National’s decision to stop paying trail commissions on certain variable annuity contracts. Stephen K. Cook, an investment advisor representative with Triad Advisors, a Dallas, Texas broker-dealer, filed the class-action lawsuit in the Southern District of Ohio court.
Genworth is halting long-term care insurance and annuity sales through the broker general agency channel. All LTCi and annuity products will continue to be sold through other channels, Genworth said. In-force policies are not affected, the insurer added.
But much of the credit for the rebound goes to the demise last year of the fiduciary rule- the U.S. Department of Labor rule that would have required brokers and others to put clients’ financial interests ahead of their own when giving retirement-account advice. Kiplinger’s often recommends the plain-vanilla type to retirees: an immediate income annuity that…
RALEIGH Terry Splawn of Concord said he’s still in shock after he purchased a $1 million lottery ticket for the second time in two years. His first run in with good luck happened in April 2017 when he bought a Millionaire Bucks ticket from Sam’s Mini Stop on Old Charlotte Road in Concord. The second happened Wednesday, less than two years later, when he bought a $150…
A bill regulating fixed indexed annuities cleared the Arizona State Senate this week by a 29-1 vote. The bill, which sets tougher rules for disclosures and illustrations, goes to the state House of Representatives for a vote.
MetLife, a provider of insurance, annuities and employee benefit programs, issued the following news release:. MetLife, Inc. today announced a series of changes to its senior leadership ranks in connection with its CEO transition, all of which are effective May 1, 2019. He will succeed Michel Khalaf, president, U.S. Business and EMEA, who becomes MetLife president…
A National Association of Insurance Commissioners’ working group proposed a strong plan Thursday, including doubling the time indexes must be in existence to be used in annuity illustrations. Indexes must be in existence at least 20 years under the proposed change.
–Crump Life Insurance Services and SelectQuote, an Overland Park, Kan. and San Francisco- based direct marketing organization, today announced the start of a multi-faceted strategic relationship that will bring much needed life insurance and retirement protection coverage to more distributors, businesses and consumers. We believe combining the resources…
After reviewing FINRA’s monthly disciplinary reports, press releases, and online database, Eversheds Sutherland analysts found that in 2018 the amount of fines increased compared with 2017, although the number of cases and amount of restitution were down. In addition, anti-money laundering cases continued to lead to the largest amount of fines.
The Insured Retirement Institute (IRI) announced today its 2019 federal and state policy blueprints to advance retirement security policies for all Americans.
A Pella woman was sentenced Monday in Jasper County Court to three-years probation for embezzlement. Christan D. Maddison, 36, received her probation order from District Court Judge Thomas Murphy. Maddison was charged with financial exploitation, a class D felony, and dependent adult abuse of a Newton resident after a federal Financial Crimes…
TRENTON- The only Mega Millions jackpot winning ticket from Friday night’s drawing, worth an estimated $267 million, was sold in Warren County. James A. Carey Jr., acting executive director of New Jersey Lottery, announced the sale Saturday in a news release, along with the winning numbers: 29, 33, 39, 60 and 66. A $10,000 winning ticket was also sold at Banner Deli and…
March 02– Mar. 2– ST. LOUIS COUNTY– St. Louis County has settled a discrimination and retaliation lawsuit for $750,000, five years after retired Sgt. County counselor Peter Krane released the settlement agreement to the Post-Dispatch Thursday in response to a Sunshine request. Tim Fitch was the police chief when O’Neil sent a letter to him and other police…
AXA Equitable Holdings, Inc. today announced financial results for the full year and fourth quarter ended December 31, 2018. Mr. Pearson continued,“ In less than a year as a publicly traded company, AXA Equitable Holdings has returned more than $1 billion to our shareholders in the form of quarterly dividends and share repurchases. As of December 31, 2018, total…
Envestnet Insurance Exchange, a new insurance network that integrates insurance solutions into the wealth management process on the Envestnet platform, has agreements with six carriers — Allianz Life, Brighthouse Financial, Global Atlantic Financial Group, Jackson National Life Insurance Company and Nationwide.
Financial advisors looking to invest client assets in annuities rank Jackson National, Lincoln Financial Group and Pacific Life in their top five across three types of annuities: variable, fixed and indexed. While Jackson National stands out as advisors’ favorite for variable annuities, Lincoln Financial Group achieves the highest consideration for fixed…
The American Council of Life Insurers issued the following statement:. The American Council of Life Insurers, the Association for Advanced Life Underwriting, and the National Association of Insurance and Financial Advisors today issued a statement announcing their support for rules requiring all financial professionals, when making a recommendation, to…
Arizona is the latest state to consider its own regulation of annuity sales with a Senate bill that is moving quickly through the Legislature. The Arizona version would ban the use of indices that have not been in existence for more than 10 years in all fixed indexed annuity illustrations.
AXA Equitable Life, a leading financial services company and subsidiary of AXA Equitable Holdings, Inc., today announced Nick Lane has assumed his previously announced position as President of AXA Equitable Life with responsibilities for the company’ s Retirement, Wealth Management and Protection Solutions businesses as well as its Marketing and Digital…
Total 2018 annuity sales increased 14 percent to $232.1 billion, compared with 2017 results, according to LIMRA. Rising interest rates and the elimination of the Department of Labor fiduciary rule are seen as factor boosting annuity sales, which are the best LIMRA has seen since it began tracking sales.
A National Association of Insurance Commissioners’ working group debated its annuity sales model throughout 2018 — mostly without success due to a few thorny issues. Finally, they put out a draft rule that skipped over many of those issues and accepted comments through Feb. 15. Those comments were released today.
Lincoln Financial Group today announced the introduction of Lincoln IRA Income Plus SM, a solution that is specifically designed to help savers maximize their retirement income on qualified savings— or the money they’ ve saved in tax-deferred retirement accounts such as IRAs. Lincoln IRA Income Plus SM is an optional benefit available with Lincoln variable…
The Insured Retirement Institute issued the following news release:. -Continued Coordination with SEC “Essential to Achieving Regulatory Consistency”. The Insured Retirement Institute filed comments today on a crucial state regulatory model affecting annuity transactions.
Arthur J. Gallagher & Co. acquired Partners Advantage Insurance Services and AMZ Financial Insurance Services on Jan. 28. The move marked the first substantial entry by Gallagher into the independent marketing organization channel of insurance distribution.
The Teachers Insurance and Annuity Association issued the following news release:. Future features are slated to include personalized account information, daily market briefings and information about TIAA Bank accounts. The TIAA Virtual Assistant has supported over 35,000 customer interactions and answered more than 104,000 questions since its…
A retirement plan has two major objectives. One is to provide assurance that you will not run out of money at an advanced age. Reflecting this objective, and because only an annuity pays you until you die, with few exceptions every retirement plan should contain an annuity.
Dramatic moves in the market may cause you to question your strategy or worry about your money. When the market moves it can be a good reminder to review investments regularly. Diversification1 can help the overall risk in your portfolio and match your personality and goals.
At its annual all-company meeting, Securian Financial announced solid preliminary 2018 financial results, including year-over-year increases in total sales, top-line revenue and earnings. “In 2018, Securian Financial achieved strong financial performance while significantly advancing our strategic priorities and increasing our community…
The Securities and Exchange Commission issued the following news release:. The Securities and Exchange Commission today announced that it is extending for one month the comment period on the proposed rulemaking to amend rules and forms to help investors make informed investment decisions regarding variable annuity and variable life insurance…
Feb. 15– A historic home in Pasadena, the Kelsey House, is the grand prize in this year’s Palos Verdes Art Center Dream House Raffle. The 2,803- square-foot home, set on a woodsy, two-thirds acre above the 7th fairway of the Annandale Country Club, was designed in 1962 by noted architects Thornton Ladd and John Kelsey for Kelsey and his family. The house last sold for…
