Regional VP-South
Annuity sales in the U.S. reached $105.4 billion in Q1 2025, down 1% from the record set a year ago, according to LIMRA. Despite the dip, this marks the sixth consecutive quarter where total sales exceeded $100 billion.
LIMRA’s Bryan Hodgens said growing economic anxiety is boosting interest in products that offer protection with growth potential, such as fixed and registered indexed-linked annuities. March sales were the second highest ever recorded.
Product Highlights:
- Fixed-rate deferred annuities totaled $39.5 billion—down 8% year over year but up 35% from Q4, driven by competitive rates and investor caution.
- Fixed indexed annuities hit $26.7 billion, a 7% decline from last year but still among the highest on record.
- Income annuities fell sharply: Single premium immediate annuities dropped 17%, while deferred income annuities declined 19%.
LIMRA expects strong fixed annuity sales to continue through 2025 due to wider availability, product innovation, and investor demand for stability.