Fixed and fixed indexed annuities are among the safest financial products available — your principal is contractually guaranteed by the issuing insurance company, and an additional layer of protection exists through state guaranty associations.
Principal Protection
Unlike stocks or mutual funds, fixed and fixed indexed annuities do not expose your principal to market risk. In a fixed annuity, your account grows at a guaranteed rate. In a FIA, your floor is zero — you can earn interest linked to market gains, but you never lose principal due to market downturns.
State Guaranty Associations
Each state has a guaranty association that protects policyholders if an insurance company becomes insolvent. Coverage limits vary by state but typically range from $100,000 to $500,000 per policyholder. This is similar in concept to FDIC coverage on bank accounts.
Carrier Financial Ratings
We only place business with carriers rated A- or better by AM Best, the leading insurance financial strength rating agency. We regularly represent carriers such as Athene, North American, American Equity, and other top-rated insurers.
What Annuities Are NOT
- Variable annuities — which do carry market risk — are a different product entirely. We do not sell variable annuities, which require a securities license.
Call us at 1-888-972-0024 to review carrier ratings and coverage options for your specific situation.