The post 10 Best Annuity Companies of September 2024 by Rebekah Brately appeared first on Benzinga. Visit Benzinga to get more great content like this.
Looking for the best annuities to maximize your retirement savings? Get started with Leverage Planning.
Annuities can be an integral part of retirement planning due to their ability to provide guaranteed income, offer tax advantages and cater to estate planning needs. When selecting the most suitable annuity for your financial objectives, it is crucial to evaluate your risk tolerance, specific investment goals and the length of time until you retire. Since annuities come in various forms, such as variable, indexed and fixed annuities, consulting with a financial advisor can offer personalized insights to help navigate this complex decision. Benzinga reviewed the top-rated providers and the best annuities in the United States for the month of September 2024.
Quick Look at the Best Annuities Today:
- Best for Shopping Multiple Providers: Leverage Planning
- Best for Diversity of Options: Nationwide Mutual Insurance Company
- Best for Customer Service: MassMutual
- Best for Fixed-Index Annuities: Allianz
- Best for Straightforward Annuities: Prudential Financial Inc.
- Best for Low Minimum Premiums: New York Life
- Best for Plan Options: Pacific Life
- Best for Military Service Members and Their Families: USAA
- Best for No-charge Income and Death Benefit Riders: Athene
- Best for Saving on Fees: MetLife/Brighthouse Financial
Table of contents
[Show]
Best Annuity Companies for September 2024
Here’s a look at the top providers of the best annuities in the United States today.
1. Best for Shopping Multiple Providers: Leverage Planning
Get started
securely through Leverage Planning’s
website
Leverage Planning is a nationwide broker of annuity and long-term care insurance dedicated to helping clients navigate retirement income planning. Annuities can be an excellent investment choice if you seek a safe and reliable means to generate income for retirement or enhance your Social Security benefits. Unlike stocks and bonds, annuities offer a predictable income stream for life and are backed by the issuing insurance company’s full faith and credit.
However, annuities are expensive, inflexible and complex financial products that require careful consideration to align with your long-term financial goals. Leverage Planning simplifies retirement earnings by connecting you to the best annuity companies based on your financial situation, risk tolerance, goals and investment horizon. The company empowers you to make informed financial choices via a comprehensive educational resource.
Leverage Planning boasts a team of expert licensed insurance advisors specializing in complex insurance products, asset protection and planning to secure your retirement. The company’s dedication to understanding each client’s goals and circumstances is unparalleled. This ensures personalized strategies that align with long-term objectives. Leverage Planning aims to help individuals achieve financial security and peace of mind through robust expertise and a client-centered approach.
Benzinga’s Leverage Planning review will help you decide whether it is the ideal broker for your annuity investing.
Best For
- People nearing retirement age seeking stable income streams
- Investors looking to diversify their retirement portfolio with low-risk investments
- Those concerned about outliving their retirement savings
- People with long-term care needs seeking financial protection
- Those looking for tax-deferred growth and guaranteed income options
- Boasts an expert team of licensed insurance advisors specializing in complex insurance products, asset protection and planning, ensuring secured retirement earnings
- Offers access to competitive pricing and comprehensive coverage through strategic partnerships with top-rated insurance carriers
- Provides tailored solutions or personalized planning to address individual financial needs, preferences and goals
- Prioritizes transparency and integrity, ensuring clients are well-informed about their options
- Empowers clients to make informed decisions about their financial future via comprehensive education or learning resources
- Impressive opportunities to earn predictable and guaranteed income at retirement or protect savings and assets
- Only available in the U.S.
Leverage Planning allows you to review various options to find the best annuities in the United States. You can see how various structures work and might apply to your specific situation. Shopping multiple options from different annuity providers at once helps you get the best price and coverage. Consumers can save hours on researching various products, thanks to expert insights and counseling from the Leverage team. Plus, you can gain the help of an advisor in finding the best plan based on your needs.
Why We Picked It: Leverage Planning offers a network of reputable annuity companies, so you can trust that you’re getting access to high-quality annuities in the United States from top-notch providers. This makes it easier to get quotes for multiple plans and compare annuities to help you find you the best one.
2. Best for Diversity of Options: Nationwide Mutual Insurance Company
Get started
Call Now
securely through Nationwide’s
website
Nationwide rates highly in financial strength as well as in life insurance reviews. The types of policies are many and are available for senior citizens up to 70 years. However, out of the many cash value accumulation policies, only some seem to gather profit quickly in the early years; the rest are slow to grow.
Best For
- Living benefits: This type of life insurance means it’s not just great for coverage after death, but it provides cash while you’re alive. It can be a great investment for young adults.
- Variable universal life (VUL) insurance: VUL gives your money a chance to grow.
- No medical exam: For coverage anywhere up to $5 million, no medical exam is required
- Pay premiums with a credit card: While some companies have restrictions on paying premiums with credit cards, Nationwide poses no such barrier.
- Life insurance quotes with no medical exam up to $5 million coverage
- A wide variety of policies
- A great option for young buyers
- Most of the policies include some kind of living benefits
- Provides cash value life insurance
- Ranked No. 2 in the J.D. Power Individual Life Insurance Study 2021
- Has a strong financial strength rating from A.M. Best
- Offers life insurance to clients over the age of 70, which is rare in the market
- Not all of its VUL or universal life (UL) policies will give you a quick and high cash value.
- Some permanent policies by Nationwide feature surrender charges.
Whether you’re looking for a more conservative or aggressive annuity product, you’ll find it with Nationwide. Choose from their wide selection of annuity products that offer investments in stocks, bonds or money market funds. Annuity options include variable annuity, fixed annuity, fixed-index annuity and registered index-linked annuity (RILA). The company also offers fixed immediate annuities, and you can include options for cost of living adjustment (COLA). Nationwide is licensed in all 50 states and Washington, D.C.
Why We Picked It: With a wide range of annuity options, Nationwide can serve customers in need of all types of investments. Whether you’re looking for a steady income stream, growth potential or a combination of both, Nationwide can help you find the best annuity plan for your financial goals.
3. Best for Customer Service: MassMutual
Compare Quotes
Mass Mutual is great for people who are looking for one-stop shopping for a range of insurance and financial products such as life insurance, disability income insurance, long-term care insurance, annuities and retirement plans.
Mass Mutual is the short version of Massachusetts Mutual Life Insurance Company, and it is one of the largest life insurance companies in the United States.
Policyholders own the company as it is a mutual insurance company. When the company is prosperous, policyholders can expect to receive a dividend.
The company is popular because it offers a wide range of products, and the customer service department is reliable and responsive.
Best For
- Males or females over the age of 18
- Customers seeking a large offering of life insurance products
- Wide range of life insurance products for term life, whole life and universal life
- Claims accepted via email
- No medical exam in some cases
- Online applications
- Dividends paid to policyholders
- Competitive premiums
- Medical exam generally required
- No online application for some plans
As far as insurance companies go, MassMutual (Massachusetts Mutual Life Insurance Company) has one of the best customer service ratings with a low customer-complaint ratio. It also has a wide product offering for annuities, including variable, immediate, fixed index and fixed annuity, each with a comprehensive package of features and benefits. No matter where you live in the United States you can purchase an annuity from this insurance company.
Why We Picked It: The full product lineup and high customer satisfaction rating make MassMutual an attractive option. Whether it’s through one-on-one consultations with financial advisors or educational resources on their website, MassMutual strives to ensure that each customer feels confident and well-informed throughout the decision-making process.
4. Best for Fixed-Index Annuities: Allianz Life of North America
Compare Quotes
securely through Allianz’s
website
Allianz life insurance and annuities are offered worldwide to a diverse customer base that requires boutique-style service for their financial products. Annuities help you plan for the future, insurance protects what is most important to you and asset management services help you organize your wealth with wisdom.
Best For
- Worldwide financial services
- Insurance and financial planning
- Annuities
- Low cost barriers
- Expert staff
- Locations you can visit
- In-person service may not be available near you
With over 125 years of experience in the financial industry, Allianz Life Insurance Company of North America (Allianz Life) has established itself as a reputable and reliable provider of annuities in the United States. The company focuses its annuity products on fixed-index and RILA options. Fixed-index annuities are annuities that offer the opportunity for higher returns based on stock market index performance, such as the S&P 500, while still providing protection against market downturns. RILA is a type of annuity contract that is registered with the Securities and Exchange Commission (SEC) and provides returns based on the performance of an underlying index.
Allianz Life has an A+ rating, meaning it is financially strong and provides excellent customer service. While it only offers fewer annuity products, it has varying options with different goals and benefits to meet your needs.
Why We Picked It: Allianz Life annuities are a great choice for investors looking for stability, security and flexibility in their financial planning. Invest in the market index with protection against investment losses with a fixed-index annuity from a company with strong financials and low customer complaints.
5. Best for Straightforward Annuities: Prudential Financial Inc.
compare quotes
Prudential offers a wide variety of life insurance policies, including extremely short-term policies. Its options mean that there’s a policy that can fit just about every need.
The company also provides other services and products, including retirement plans and some health insurance.
Prudential is a reliable company in good financial standing, evidenced by its ratings. You can get a quote for term life insurance policies online, but for other policy types, you’ll need to go through one of Prudential’s financial professionals.
Best For
- Short-term policies
- Families who want to leave a legacy behind
- Flexible whole life insurance
- Riders can be added to policies
- Some policies can be used as final expenses life insurance
- There is a “free look” period
- Quotes for Prudential’s term policies only available online
If you’re new to the space and not entirely sure what annuities might work best for you, Prudential Financial Inc. might be a good place to turn. Its straightforward products make investing simple. It has a product called FlexGuard that allows you to place your funds in an indexed variable annuity. That way you can place your funds in a broad stock market index with minimal risk and predictable growth. Other options include fixed-index annuity, variable annuity and multi-year guaranteed annuity. It also offers calculators where you can input information about your financials and see how your annuity will grow and pay out for planning purposes.
Why We Picked It: Prudential Financial Inc. offers a range of annuities that are designed to be user-friendly, making it easier for those who are new to annuities to understand their benefits and potential income. Their online tools and resources can help you calculate and visualize what your income will look like based on different scenarios and options.
6. Best for Low Minimum Premiums: New York Life Insurance Company
compare quotes
New York Life offers a variety of life insurance policies, including term life insurance, universal life insurance and whole life insurance. Its policies are suitable for a broad range of people, are available in all 50 states and must be purchased through one of their licensed agents.
Learn more about New York Life Insurance with Benzinga’s review.
Best For
- Consistent dividends
- Consumers needing riders for specific insurance needs
- New York Life has paid an annual dividend for 160 consecutive years
- Several types of life insurance are available
- Coverage can be customized with riders
- Estate and wealth management services are offered
- No online quotes or application
- No mobile app
- Mixed client reviews
The New York Life Insurance Company is one of the oldest and most reputable insurance companies offering annuities in the United States. It holds an impressive A++ rating from AM Best for its strong financial stability and strength. With a history that spans over 175 years, New York Life Insurance Company has been providing individuals and families with peace of mind and financial protection through its range of annuity products, including fixed deferred, income and variable annuities.
New York Life offers annuities with low minimum premiums, making them a good option for individuals who may not have a large sum of money to invest initially. An annuity with a low minimum premium allows individuals to start investing in their future retirement savings without having to commit a significant amount of money upfront. This can be particularly beneficial for those who are just starting to save for retirement or who want to supplement their existing savings with an additional investment.
Why We Picked It: With its solid reputation and stable financial performance, New York Life Insurance Company offers investors a solid choice for their annuity investments. Plus, their low minimum premium and flexible payment options allow individuals to start saving and investing with a relatively small initial investment, making them accessible to a wider audience.
7. Best for Plan Options: Pacific Life Insurance Company
get started
securely through Pacific Life Insurance’s
website
Pacific Life Insurance, founded in 1868, is one of the oldest insurance companies in the country. A fiscally sound company with an A1 rating from Moody’s and an AA- rating from Standard & Poor’s, your policy will be there if your family needs it because the company has a long, successful history.
Pacific Life Insurance specializes in life insurance and related products and focuses on customers who want premium coverage. Pacific Life has captured 2.9% of the individual life insurance market.
Best For
- Customers who want a life insurance-focused buying experience
- Those who have excellent credit
- Focused on life insurance
- Wide range of policy types, coverage options and riders
- Wide selection can be confusing
- Many policies better suited to corporate life insurance or high net-worth individual needs
- Little online customer service
Pacific Life is a well-established insurance company with over 150 years of experience in the industry. The company also has a stellar A+ rating from AM Best. Pacific Life offers fixed, immediate, index, and variable annuities, providing customers with a wide range of options to choose from.
Their Pacific Choice variable annuity stands out because it offers a five-year withdrawal period. This is a bit more generous than the industry standard of seven years, giving customers more flexibility with their investments. While the minimum premiums for annuities with Pacific Life tend to be higher than some competitors, the company’s products are known for their quality and reliability.
Why We Picked It: Pacific Life Insurance Company offers a diverse range of products which allows customers to select the annuity plan that best suits their financial goals and risk tolerance.
8. Best for Military Service Members and Their Families: USAA
Get started
securely through USAA’s
website
USAA is designed for veterans, active personnel, reservists and their families, offering a massive range of insurance and annuity products.
Best For
- Military personnel and their families
- Eligibility can be transferred to younger family members
- Wide range of insurance and annuity products
- Competitive rates
- Branches you can visit for service
- Cover the whole family easily
- Eligibility varies from state to state
USAA, or the United Services Automobile Association, is a financial services company that caters to members of the military, veterans and their families. USAA Life Insurance Company offers a wide range of financial products and services, including banking, insurance, investments and retirement planning. Members can access these services through USAA’s website, mobile app, or by visiting one of their physical locations.
In terms of annuities, USAA Life Insurance Company primarily offers three types: fixed-indexed annuity, deferred annuity and immediate annuity. While these options may not be as diverse as what some other financial institutions offer, their products are still solid options for those in need of reliable income during retirement. USAA has a strong reputation for providing quality financial services, and their annuities are no exception.
Why We Picked It: USAA is known for its excellent customer service and commitment to serving its members with integrity and respect. This makes them a trusted partner for military families.
9. Best for No-charge Income and Death Benefit Riders: Athene
Get started
securely through Athene’s
website
Athene is an online-only provider that allows you to take out a range of annuity products that can help you plan for the future and keep costs down.
Best For
- Online annuity service
- Competitive rates
- Planning for the future
- Sign up online in seconds
- Information on the site to help answer your questions
- Open to a wide range of customer types
- You may prefer in-person service
Athene is one of the newer players in the insurance industry. Founded in 2009 by insurance industry veterans, Athene has already established themselves as a strong competitor in the annuities market. With 11 different annuity products in its portfolio, Athene provides options for individuals looking for fixed, index-based, index-linked or immediate annuities. This variety allows customers to choose the annuity product that best suits their financial goals and needs.
With Athene Agility annuities, there is no charge for income and death benefit riders. This means that customers can now enjoy the benefits of these valuable riders without having to pay extra fees. This makes their retirement planning even more affordable and accessible.
Why We Picked It: Athene Annuity’s commitment to providing no-charge income and death benefit riders sets them apart as a top choice for individuals seeking to maximize their annuity benefits without incurring extra costs.
10. Best for Saving on Fees: MetLife Annuities/Brighthouse Financial
Get started
securely through Metlife’s
website
MetLife is one of the oldest insurance carriers in America, offering a wide range of insurance and annuity products with fixed and variable returns.
Best For
- Fixed and variable annuities
- Aim to guarantee income in the future
- Branches around the country
- Competitive returns
- Multiple insurance products to choose from
- Long track record of success
- You may want different products or bundles and tie-ins
Brighthouse Financial is a subsidiary of MetLife that focuses primarily on annuities for individuals. Although technically a separate entity, it is still part of the larger family of companies established by MetLife, one of largest insurance providers in the United States.
Brighthouse offers several types of annuities including fixed-index, index-linked, index-linked annuity with income builder and variable annuities. The absence of annual contract fees makes annuities from Brighthouse Financial an attractive option for individuals looking to grow their retirement savings without incurring unnecessary expenses.
Why We Picked It: With its no annual contract fees on most of its annuity options, Brighthouse Financial allows investors to save on fees and not worry about extra costs eating into their returns over time.
What Are Annuities?
An annuity is a type of insurance product. It offers fixed income, most often used in retirement to supplement traditional retirement income.
You pay premiums that go into your annuity fund. Those funds get invested based on the type of annuity you have. Over time, the funds grow as you pay your premiums and the investments pay off. Then you receive those funds paid out over many months. You can also take it as a lump sum in some cases depending on the type of product you chose and its rules.
Some annuity contracts are simple while others are quite complex. Talk with a financial advisor about how to use this tool to supplement retirement income or ensure your retirement savings don’t run out.
One Redditor had this to say about the value of an annuity in financial planning:
“They help with longevity risk. They also can pay well without being in some market that goes up and down and what like … sideways. Economists love them and that is not a joke.”
Different Types of Annuities
As you learn more about annuities, you’ll find there are many types. Each type provides unique benefits and offers a financial solution for varying scenarios. Here’s a look at the various options.
Immediate Fixed-income Annuities
These annuities have a set interest rate. That means you pay premiums in exchange for a specific value within a set period. Some contracts offer payouts for the rest of your life while others specify the payment period. You’ll often start getting payments from this annuity after you pay the deposit.
Deferred Income Annuities
This is another type of fixed annuity. It starts with paying a lump sum and then offers a stream of income. With this annuity type, you won’t get income until you complete the accumulation period. During the accumulation period, your annuity will grow to help make it more valuable once you start taking payments.
Variable Annuities
This is a more advanced type of annuity and is often viewed less as an insurance product and more as an investment. You might also encounter fees with this annuity type, which could reduce your income from the product. It is a riskier form of annuity but can also ensure a higher payout when used strategically because you can select where your funds are invested.
Indexed Annuities
Bring together the benefits of variable and fixed annuities. You’ll get guaranteed base income but could get even greater income based on how the index performs. It offers some protection from major market drops but your benefit will be reduced if the market isn’t doing well.
Why Choose an Annuity for Retirement?
Annuities offer many benefits when planning for retirement. Here’s a look at some reasons you might use this financial tool as you look to retire.
- Guaranteed income: Many annuity contracts offer payments for life. Just ensure you’re choosing a financially stable company that will be around for your lifetime.
- Customizable: Each buyer has different needs. You can match the annuity to meet those needs, such as providing a death benefit for survivors.
- Money management tools: You won’t have to worry as much about managing the funds on your own thanks to portfolio rebalancing and other tools the company provides to help ensure your benefit as outlined in the contract.
How to Choose the Right Annuity Company
Here’s how to review your options and select the best annuity plan based on your needs.
- Compare products from multiple annuity providers to see how your payments will vary.
- Read all disclosure information to make sure you know how the annuity works and any risks it might carry.
- Ask a company representative questions to learn more about the product and its features.
- Review the company’s financial ratings to see how stable it is and how strong its future is since you’re looking into a long-term product.
- Review how much you’ll be withdrawing monthly to see whether this meets your financial goals.
Diversify Retirement Income with an Annuity
Annuities are somewhat complex. However, they can provide additional retirement income to help diversify your savings and gain reliable, stable income with strong returns on the premiums you pay. Talk to your financial advisor about whether an annuity might be a smart retirement investment for you.
Frequently Asked Questions
What is the highest-rated annuity company?
MassMutual has the highest customer satisfaction ratings of any annuity company.
Answer Link
What is the best annuity provider?
The best annuity provider will depend on your specific financial goals. Some of the best include Nationwide and MassMutual.
Answer Link
How much does a $100,000 annuity pay per month?
The specific amount that a $100,000 annuity pays each month will vary based on your contract. However, with the most common features, this annuity would pay out $614 per month.
Answer Link
Which type of annuity is best?
The best type of annuity depends on individual financial goals, risk tolerance, and needs. Common types include fixed, indexed, immediate and variable annuities, each offering different levels of guaranteed income and potential returns. Consulting with a financial advisor can help determine the most suitable option based on your financial situation.
Answer Link
The post 10 Best Annuity Companies of September 2024 by Rebekah Brately appeared first on Benzinga. Visit Benzinga to get more great content like this.