Growing Interest in Annuities Matches Sales Records

More than half (51%) of Generation X respondents told the Nationwide Retirement Institute in a recent online survey that events from the preceding year made them more likely to put part of their portfolio into an annuity or another guaranteed income solution.

This interest provides a significant opportunity for annuity providers like Nationwide, as only 5% of respondents said they were already invested in guaranteed products; 15% said they were less likely to do so than they were one year ago.

Nearly one-third (32%) of Nationwide’s 510 surveyed advisers and financial professionals said they were introducing or increasing annuities with Gen X clients more than with Baby Boomer clients.

A previous survey from Nationwide found that 76% of responding annuity owners between the ages of 45 and 75 expressed confidence in their retirement timeline, compared with 49% of respondents who do not own annuities.

Record Q3 Sales

Annuities reached a new sales record in the third quarter of 2025, according to LIMRA’s U.S. Individual Annuity Sales Survey, which represents 92% of the U.S. annuity market. The Q3 total of $121.2 billion is a 5% increase from the previous quarter, and the year-to-date total of $347 billion is a 4% year-over-year increase.

LIMRA projected that annuities will reach its previous estimate of $450 billion in yearly total sales in 2025—roughly double the 2020 total—and remain at least $450 billion in yearly sales through 2028. Q3 2025 is also the eighth consecutive quarter in which annuities sales exceeded $100 billion.

Most annuity classes saw increased sales from last year:

• Registered index-linked annuities set a quarterly sales record of $20.7 billion in Q3, marking a 20% increase from the same period last year. Year-to-date sales totaled $57.4 billion, or a 19% year-over-year increase.
• Fixed-rate deferred annuities had the largest portion of Q3 sales, totaling $42.9 billion, with a 6% year-over-year increase. Year-to-date total sales of $127.8 billion had a 3% increase from the same period last year.
• Traditional variable annuity sales totaled $17 billion in Q3. The year-to-date sales total of $47.2 billion was a 7% year-over-year increase.
• Single premium immediate annuity sales totaled $3.9 billion in Q3. Year-to-date SPIA sales remained level with last year’s totals.

Two annuities classes saw decreases in sales:

• Fixed-indexed annuity sales totaled $33.2 billion in Q3, a 6% year-over-year decrease. Year-to-date FIA sales were $93.8 billion, a 1% year-over-year decrease.
• Deferred income annuity sales were $1.3 billion in Q3, a 3% year-over-year decrease. Year-to-date DIA sales were $3.4 billion, down 10% from last year.