An annuity can be classified by two types of investment options. They are:
The most popular type of annuity sold is the variable annuity. In 2011, we saw variable annuity sales increase 13 percent to $159.3 billion from sales of $140.5 billion in 2010, fueled by equity market growth and people’s desire for guaranteed income riders. Overall, total annuity sales increased 8 percent to $240.3 billion (See Table 2.3).
Annuity Industry Total Sales
Source: Morningstar Inc. and LIMRA International, February 2012;