Find out how to intentionally target larger qualified money cases in your practice.

Sales of indexed products have received increased scrutiny due to the concern that agents are giving investment advice when the customer liquidates a security to fund the index product purchase. But what exactly constitutes investment advice that requires registration?

Income Riders can be great for the right person, but they are not a one-size-fits-all type of product, suitable for anyone who wants to generate an income stream.

Over the last several years, many states have begun to specifically define what agents must consider when selling annuities—especially to seniors. Most regulations haven’t changed, but states are interpreting them more carefully and monitoring sales more closely.

As more people become aware of new IRA rules, they will be seeking advice on what is best for their situation: a Traditional or Roth IRA. This is a tremendous opportunity for you to get in front of new prospects.

By Bill Kauffman, Director of Marketing, Life and Annuities

There was a time when conventional wisdom said you shouldn’t put a 65-year-old in a deferred annuity. But consider the statistics: the average 65-year-old has a 50 percent chance of living to age 90 and a 1-in-4 chance of reaching 100. Given those odd, many carriers have had to rethink the max issue ages for their products, and many advisors are starting to rethink what is an appropriate plan for their elderly clients.

First the good news: Demand for annuities has spiked in recent years as consumers begin to recognize their value as a safe, tax-deferred savings option.

Now the bad news: Most of those people who are buying annuities don’t fully understand the tax disadvantages of having money in an annuity that will eventually be passed on as a wealth transfer case.

As expected, the economic crisis at the end of 2008 sparked a flight to safety among investors, especially retirees who are looking to protect what was left of their savings. But a study by Harris Interactive on behalf of MetLife indicates that some went too far. The study, which polled 1,000 retirees, found that more than one-third (37%) keep the majority of their assets in liquid accounts, such as CDs, savings accounts and money market funds.

Income Riders have become an popular feature with Fixed Indexed Annuities. And it’s not difficult to understand why. Talk of 7% or 8% percent guaranteed returns is attractive. But they are not a one-size-fits-all type of product, suitable for anyone who wants to generate an income stream.