As an insurance professional, you understand that today’s clients face unprecedented challenges in securing their financial future. With traditional pension plans disappearing and market volatility creating uncertainty, annuities represent one of the most powerful tools in your arsenal to provide guaranteed income solutions while building a robust, recurring revenue stream for your practice.
Annuities are insurance contracts designed to provide guaranteed income streams, typically used for retirement planning and wealth preservation. When a client purchases an annuity, they make either a lump-sum payment or series of payments to an insurance company in exchange for regular disbursements that can begin immediately or at a future date.
Think of annuities as the bridge between accumulation and distribution phases of your clients’ financial lives. Unlike mutual funds or stocks, annuities offer contractual guarantees backed by the financial strength of the issuing insurance company, making them invaluable for risk-averse clients seeking predictable income.
Recurring Commissions: Many annuities pay out ongoing renewal and trail commissions, supporting long-term income streams for your business.
Diversification: You can differentiate yourself with a broader product suite, attracting clients seeking comprehensive retirement solutions.
Meeting Client Needs: Annuities address top client concerns such as outliving savings, market volatility, and income predictability.
Educational Value: By helping clients navigate complex retirement products, you position yourself as a trusted advisor.
Partnering with us strengthens your annuity practice with:
Access to Top Carriers: Offer leading annuity products with competitive features and rates.
Sales Support: Annuity e-applications and confidential needs-analysis through our Life and Annuity Resource Center (LARC).
Marketing Resources: Educational materials, consumer-facing presentations, and digital lead programs.
Training & Support: Stay updated with regulatory requirements and product innovations through ongoing education; training through LARC.
With fixed annuities, your clients receive a guaranteed interest rate for a specified period. These products appeal to individuals seeking safety and predictability in their retirement plans.
Key Benefits: Stability, guaranteed returns, and predictability.
Ideal for: Conservative clients who want low-risk solutions.
A MYGA, or Multi-Year Guaranteed Annuity, offers a guaranteed interest rate for a short term, typically 3-7 years. Rates vary by carrier, product, and economic factors. For example, a 5-year MYGA at 4% interest compounds annually at 4% over five years.
Key Benefits: FIXED guaranteed rate, SHORT surrender period, income tax deferral
Ideal for: Conservative clients who want low-risk solutions.
Variable annuities allow clients to invest their premiums in a selection of sub-accounts that function like mutual funds. While offering potential for higher returns, these annuities carry market risk, making them ideal for clients with higher risk tolerance.
Key Benefits: Investment flexibility, potential for higher growth.
Ideal for: Clients comfortable with market fluctuations and seeking long-term growth.
Indexed annuities combine features of both fixed and variable annuities, offering a guaranteed minimum return with the potential for higher returns tied to a market index (like the S&P 500).
Key Benefits: Investment flexibility, potential for higher growth.
Ideal for: Clients comfortable with market fluctuations and seeking long-term growth.
An Immediate Annuity, or Single Premium Immediate Annuity (SPIA), starts delivering guaranteed income payments almost immediately after a single lump-sum premium is paid, making it an ideal solution for clients seeking quick and reliable retirement income.
Key Benefits: Single premium payment, Income begins within 12 months, Highest payout rates among annuity types, Simple underwriting process
Ideal for: Clients seeking a balance between growth potential and protection.
Deferred annuities allow funds to grow over time, with payments beginning years later. Clients can use this as a savings vehicle for long-term retirement income.
Key Benefits: Guaranteed interest rates for specified periods, Principal protection, Tax-deferred growth, Flexible withdrawal options
Ideal for: Younger clients planning for retirement years in advance.
Unlock new opportunities and serve your clients with confidence. Contact Tidewater Management Group today to learn more about the latest annuity products, agent resources, and how annuities can elevate your practice.
Call us at 888-622-9122 to schedule your complimentary annuity opportunity assessment.
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