Jackson Keeps Variable Annuity Benefits Guarantees on Menu

Jackson Financial will still have something to offer variable annuity buyers who want income guarantees.

The Lansing, Michigan-based life insurer today reaffirmed its commitment to providing annuity benefits guarantees by introducing the Flex Suite family of variable annuity living benefits.

The new family is a slimmed-down version of the company’s old LifeGuard Suite living benefits family. It includes options for those who want to focus on increasing income, clients who want to lock in a steady income, and clients who want to lock in both retirement income and a death benefit.

Some companies have talked about tilting away from selling traditional variable annuities and annuity benefits guarantees. At Jackson, however, “we remain committed to our core value proposition of offering investment freedom,” Brian Sward, head of product solutions at Jackson National Life Distributors unit, said in a comment about the new living benefits family.

Access to income guarantees can help clients make their nest eggs bigger and cope with investment market volatility, Sward said.

What It Means

The variable annuity benefits guarantee market may look different than it did 15 years ago, but guarantees are still out there.

Jackson’s commitment to continuing to offer guarantees is noteworthy partly because it’s the leader in the U.S. individual traditional variable annuity market. It ranked first in market share in the first quarter, with $2.4 billion of the industry’s $12.8 billion in new variable annuity sales, according to LIMRA.