Variable annuities hold their luster

Article Abstract:

Variable annuities posted a remarkable performance in 1997, with record-level sales in the first three quarters, the introduction of new products and the continued interest of investors in tax deferral. However, some consumers and financial planners criticize the sector owing to higher fees. In response, variable annuity writers are promising higher death benefits, principal protection or improved lifetime payout plans as well as reducing expenses to better position variable annuities against mutual funds.

Variable Life & Equity Insur, Evaluation, Economic aspects, Variable annuities, Variable life insurance

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Annuities sellers shift focus to payout benefits

Article Abstract:

Insurers are offering more generous annuity payout benefits to increase their annuity sales. These expanded benefits include varying payouts during rather than at the conclusion of the annuitization phase as well as full liquidity for period-certain annuity contracts. Insurers realized that the adoption of these expanded payout benefits was necessary to get baby-boomers accustomed to high-reward investment products such as mutual funds and 401(k) plans to purchase annuities.

Innovations, Marketing, Insurance industry

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A new way to loosen equity: companies hope to spur the reverse-mortgage market by offering immediate annuities

Article Abstract:

Financial Freedom Senior Funding Corp. has introduced the Financial Freedom Plan, a reverse mortgage that pays a lump-sum and offers the option of the purchase of an immediate annuity that provides monthly payments for life. Financial Freedom created the plan, which was launched in Sep 1996, to better serve the needs of senior citizens. Conventional reverse mortgage payment plans stop payments 12 months after the homeowner moves from the house.

Mortgage Bankers and Brokers, Mortgage Bankers & Brokers, Mortgage and Nonmortgage Loan Brokers, Usage, Services, Reverse annuity mortgages, Reverse mortgages, Mortgage brokers, Financial Freedom Senior Funding Corp.

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