Annuities: 10 Things to Know

As interest rates remain high, so does the appeal of annuities. How much do you know about these insurance products?

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Soaring interest rates are making annuities more attractive to investors, so much so that annuity sales are smashing records set in 2008 during the Great Recession. Annuities, which can provide retirement income, are also becoming an option for workers whose employers aren’t providing pensions.

Total U.S. annuity sales increased to $385 billion in 2023, 23% higher than the record set in 2022, according to preliminary survey results from LIMRA, a financial services trade association. These numbers represent the highest quarterly sales since LIMRA began tracking annuity sales in 2014. 

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Senior Retirement Editor, Kiplinger.com

Elaine Silvestrini has worked for Kiplinger since 2021, serving as senior retirement editor since 2022. Before that, she had an extensive career as a newspaper and online journalist, primarily covering legal issues at the Tampa Tribune and the Asbury Park Press in New Jersey. In more recent years, she's written for several marketing, legal and financial websites, including Annuity.org and LegalExaminer.com, and the newsletters Auto Insurance Report and Property Insurance Report.