Annuities can be a tough sell. Retirees and those approaching retirement worry that they will die long before they recoup their investment. Add to this concern the years of low interest rates and the industry’s reputation for high fees, and it’s not surprising that annuity sales are relatively flat.
But the annuity industry is convinced it can attract a growing wave of baby boomers who remember all too well the 2008 market downturn. Insurance companies are rolling out a variety of products that they contend address the baby boom generation’s desire for flexibility and choice — as well as a need for guaranteed lifetime income.