Distributors Expect Life Sales to Grow Faster Than Annuity Sales

A BGA is a firm that distributes insurance products and provides support services for insurance agents.

A typical IMO is bigger than a typical BGA and may serve as an umbrella organization for many different BGAs.

Last year: When the participants were surveyed, about 68% said sales were higher in 2023 than in 2022, and only 15% said sales were lower.

Thanks to the increase in annuity crediting rates and the easing of the COVID-19 pandemic, the percentage of participants’ sales coming from life insurance fell to 58%, from 67% in 2021, and the percentage coming from annuities increased to 23%, from 19%.

Hot products: In addition to asking about growth prospects for services, the survey team asked about growth prospects for specific products.

About 45% named life insurance as the product with the top three-year outlook and 26% named annuities. Only 3% thought disability insurance would be the growth leader.

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