According to global analytics firm Cerulli Associates, variable annuity net new sales will reach $22 billion by 2018, a 57 percent increase from 2012 levels.
"Net new variable annuity sales plummeted in 2012 to just $14 billion," states Donnie Ethier, associate director at Cerulli. "However, as interest rates stabilize, we envision legacy variable annuity providers and new entrants, including nontraditional players, to join the marketplace."
Cerulli's Annuities and Insurance 2013: Balancing Shrinking Supply and Increasing Demand for Guarantees report, which leverages continuous analysis of the variable annuity, insurance, and insurance subadvisory marketplaces, focuses on three key areas of the annuities and insurance markets-distribution, product development, and asset management.
