In this article, we will be taking a look at the 5 best annuity companies in the US. To read our detailed analysis of annuities and the insurance sector, you can go directly to see the 10 Best Annuity Companies in the US.
5. Fidelity & Guaranty
AM Best Rating: A-
Fidelity & Guaranty is a US-based insurance company founded in 1959. It primarily provides annuities and life insurance.
AM Best holds an A- (Excellent) rating on Fidelity & Guaranty as of 2023, signifying the company’s financial strength. As of January 2023, the company offers a rate of 5.4% for Guarantee-Platinum, its seven-year fixed annuity.
Fidelity & Guaranty offers three types of annuities to its clients. These are immediate annuities, fixed-index annuities, and multi-year guaranteed annuities.
4. Ibexis
AM Best Rating: A-
Ibexis, formerly known as SSL, is an annuity company with a new and exclusive focus on fixed annuities. The company was founded in 1937.
The fixed annuities offered by Ibexis offer fixed returns, easy-to-understand crediting strategies, and flexible payout options. The company offers multi-year guaranteed annuities, which are a more predictable type of fixed annuities, as their interest rate is fixed for the duration of the client’s contract with the company.
As of January 2023, Ibexis offered the best fixed annuity rate of 5.8% for its MYGA Plus, a five-year fixed annuity. AM Best currently holds an A- (Excellent) rating on the company’s financial performance.
3. Athene
AM Best Rating: A (Excellent)
Athene is an insurance company founded in 1896. The parent organization for the company is Athene Annuity & Life Assurance Company. The company issues, reinsures, and acquires retirement savings products. It is based in West Des Moines, Iowa.
Independent rating agencies like AM Best, S&P, and Fitch see Athene as a financially strong company with a stellar performance. All three agencies have placed positive ratings on the company as of 2022. They have placed ratings of A (Excellent), A+ (Superior), and A+ (Superior) on Athene’s financial strength, respectively. The company also offers some of the best fixed-annuity rates. For MaxRate, Athene offers fixed annuities of three, five, and seven years. The rates for these annuities are 4.7%, 5.35%, and 5.4%, respectively, as of January 2023.
The company’s latest financial highlights as of 2023 show that it holds $236.7 billion in total assets, $13 billion in gross organic inflows, and $2.7 billion in excess capital. In 2021, Athene generated $11.9 billion in funding agreement inflows and was the top issuer of funding agreement-backed notes with $11.1 billion of issuance across six currencies. It is among the best annuity companies in the US because it has multiple distribution channels to source its liabilities. These include retail, reinsuring in the annuity industry, and acquisitions and block reinsurance transactions.
2. Oxford Life
AM Best Rating: A (Excellent)
Oxford Life was founded in 1965 as an insurance company falling under U-Haul Holding, its parent organization. The company is based in Phoenix, Arizona. The company offers life insurance policies with no medical exams required and immediate approval for insurance applications during a customer’s point-of-sale interview.
The company is considered to be one of the best annuity companies in the US because of its single-premium policies and Medicare supplement coverage. Oxford Life also has excellent third-party ratings. For instance, AM Best has an overall rating of A (Excellent) on the company as of 2023. This signifies the company’s sound financial performance and strong claims reliability.
Oxford Life had about $2.9 billion in assets and $230.2 million in capital and surplus as of 2023. The company’s top business lines are annuities, life insurance, and insurance for accidents and health. These categories make up 80.52%, 13.32%, and 6.16% of the company’s business, respectively. For MultiSelect, Oxford Life offers rates of 4.95% for eight and nine-year fixed annuities and a rate of 5% for its 10-year fixed annuity as of January 2023.
1. Americo
AM Best Rating: A
Americo, an annuity company falling under United Fidelity Life Insurance Company, is based in Kansas City, Missouri. It was founded in 1946.
Americo specializes in providing two primary annuity types: fixed-index and multi-year guaranteed annuities.
The company offers competitive rates for its fixed annuities. As of January 2023, Americo’s American Pathway, a four-year fixed annuity, was offered at 5.15%. Another product, Platinum Assure, which is a six-year fixed annuity, was offered at a rate of 5.45% at the same time.
See also 15 Biggest Insurance Companies in the World and Top Insurance Companies in the US.
