At the present time, consumers are buying annuities at a greater rate than ever before. As an agent with the ability to sell this financial product, the opportunity to make regular sales and increase profits is available.
Above all else, the baby boomer generation is beginning to reach retirement age (many have already hung up their work boots). Subsequently, these people are considering what the future holds for their finances. While many have their financial situation in order, others are looking for stability. It is these people who are most interested in buying an annuity.
Consumers love the idea of “buying an annuity” as it offers a fixed monthly income, without any money management hassles.
Let’s face it: a large number of people do not put enough money away for retirement. Instead, they try to rely solely on Social Security and what little other savings they have.
Those with cash – regardless of the type of account it is in – can purchase an annuity to offer some level of financial security in the future.
Adding to this is the fact that there are many types of annuities to consider:
Multiple Payout Options
As an agent selling annuities, it is important to explain the different payout options to interested consumers. These include but are not limited to:
- Income for a guaranteed period, often times referred to as a period certain annuity
- Lifetime payments
- Income for life with a guaranteed benefit
- Joint and survivor annuity
Now that you know why consumers are interested in buying annuities, you can use this information to your advantage during the sales and marketing process.