10 Reasons S&P Is Not Panicking About Annuities

Carmi Margalit and other analysts at S&P Global Ratings think the outlook for U.S. life insurers looks stable. That could be good for your clients' life insurance policies and annuities. S&P is one of the firms that grade the strength of bond issuers and insurance providers. Its ratings help determine whether insurers can borrow capital, what they pay for capital and the value of their guarantees. Having strong, stable ratings helps insurers earn more by offering better products. At S&P, "life remains one of the most highly rated sectors," Margalit said Thursday at an S&P insurance and reinsurance update webinar. For a look at 10 factors influencing S&P's assessment of the life and annuity sector, see the gallery accompanying this article. Credit: Adobe Stock