Fixed Annuity Sales Slump Since 2009

Fixed annuity sales in the first half of this year slumped 37 percent compared to the first half of 2009, erasing the meteoric rise in sales amid the flight to safety during the recession, according to LIMRA data released today.

The drop brings FA sales to $40.5 billion in the first half, compared to $64.2 billion in last year’s first half. This year’s first half total is also lower than $47.6 billion in 2008 but still higher than the $34.2 billion in 2007. This performance was the opposite of variable annuity sales, which plummeted during the recession. VA sales went from an all-time high of $89.6 billion in the first half of 2007 to $84.3 billion in 2008 and $62.6 billion in 2009, when VAs sold less than FAs for the first time since 1995.

Since last year, VAs found their footing, growing about 8.5 percent to $67.9 billion this year. Even so, it did not make up for the FA loss and the total market dropped to $108.4 billion, which is down about 17 percent since 2009 and off 21.6 percent compared to 2008, which was the total annuity market’s best first half ever.

“We aren’t surprised by the decrease in fixed annuity sales,” said Catherine Theroux, LIMRA spokeswoman. “In this low-interest rate environment, consumers are reluctant to lock into a long-term fixed annuity.”

The growth in VA sales reflect more confidence in equities markets but also a consumer drive for a return that exceeds CD rates but also the safety of the guaranteed minimum that most VAs now feature. This is the same dynamic that has helped indexed annuity sales boost sales within the fixed annuity segment, according to AnnuitySpecs.com data released on Sunday. Indexed sales were $8.3 billion the second quarter, which represented a 22.8 percent increase over the first quarter. Indexed sales were about where they were in the second quarter of 2009, showing a 0.1 percent drop.

Sheryl J. Moore, president and CEO of AnnuitySpecs.com, said she expects the upward trend to continue throughout this year. “With CD rates at 1 percent and fixed annuities crediting a mere 3.65 percent on average, it is no wonder that this was the second-highest quarter in terms of indexed annuity sales,” Moore said. “It is going to be another record year.”

query: should buyer get title insurance on land cash deal

Unless you want to put the cash at risk, YES, buy an owner title insurance policy.

query: should buyer get title insurance on land cash deal

Unless you want to put the cash at risk, YES, buy an owner title insurance policy.

query: when does being threatened with adverse possession end

I do hope you confer with a good real estate attorney.  In PA, you can evidence that you granted permission for the use, even if temporary permission and that should defeat an adverse possession claim.  A good real estate attorney can advise you.

I bought a property a few years back and the survey revealed that a neighbor was using my land for parking and generally as a side yard.  The land was

query: when does being threatened with adverse possession end

I do hope you confer with a good real estate attorney.  In PA, you can evidence that you granted permission for the use, even if temporary permission and that should defeat an adverse possession claim.  A good real estate attorney can advise you.

I bought a property a few years back and the survey revealed that a neighbor was using my land for parking and generally as a side yard.  The land was

questions on a public forum

Purchased a house about 5 months ago in PA. I have talked to the guy 8 or 10 times now and he has made many excuses and promises.. and yet, I never received the original title back, or the owner's title insurance policy I paid for. I checked with the county, and the purchase has been recorded with them.

So, obviously I will try to press on him by filing BBB complaint, etc, but my concerns

questions on a public forum

Purchased a house about 5 months ago in PA. I have talked to the guy 8 or 10 times now and he has made many excuses and promises.. and yet, I never received the original title back, or the owner's title insurance policy I paid for. I checked with the county, and the purchase has been recorded with them.

So, obviously I will try to press on him by filing BBB complaint, etc, but my concerns

Argo International builds Directors and Officers Team

Argo International builds Directors and Officers team with two underwriting appointments.
Argo International, a specialist Lloyd’s insurer and subsidiary of Argo Group International Holdings, Ltd. (NASDAQ: AGII), today announces that it has further added to its Directors and Officers (D&O) team with the appointment of Rita Mistry and Anthony Hope.

Reporting in to Paul Kneafsey, Rita and Anthony join Argo International from Dual Corporate Risks’ D&O division, where they were central to the expansion of the company’s D&O portfolio.

Their appointment follows the recruitment of Andrew Robertson to Argo International’s D&O team. Rita and Anthony will join Andrew to write flexible D&O solutions as part of Argo International’s wider Financial Lines business.

Julian Enoizi, CEO of Argo International, said "As part of the wider expansion of our business, we are building our Liability offering and, with their experience of developing D&O accounts, Rita and Anthony will be integral to the strategic growth of our Financial Lines business.”

Source : Argo Group

question from Bob

A Lender’s Policy was issued by a Title Company for private financing in the amount of the loan on a single family home with a LTV of 50% or less.  A good portion of the loan proceeds were used to cure delinquent taxes and acquire an adjacent property.
Borrower signed as a Personal Representative of an Estate with minors.  Title Company failed to discover borrower’s PR status had expired.  This

question from Bob

A Lender’s Policy was issued by a Title Company for private financing in the amount of the loan on a single family home with a LTV of 50% or less.  A good portion of the loan proceeds were used to cure delinquent taxes and acquire an adjacent property.
Borrower signed as a Personal Representative of an Estate with minors.  Title Company failed to discover borrower’s PR status had expired.  This

2008 taxes used for 2010 closing?

Diane: After we closed on our property we discovered the title company had made an error when they did the title search regarding the taxes. They said they based them on the 2008 taxes because the 2009 tax bills were not out yet, we closed Feb. 22, 2010. They said their title search found the 2008 taxes were $1130 when in fact the 2008 taxes were $2950. The amounts that were allowed for

2008 taxes used for 2010 closing?

Diane: After we closed on our property we discovered the title company had made an error when they did the title search regarding the taxes. They said they based them on the 2008 taxes because the 2009 tax bills were not out yet, we closed Feb. 22, 2010. They said their title search found the 2008 taxes were $1130 when in fact the 2008 taxes were $2950. The amounts that were allowed for

happy insured

Hi Diane,  thought I would follow up to share the outcome of this title insurance claim for the costly non-permitted construction on our house...

Even though our legal matter with the sellers was far down the road (and stalled) and only then had we decided to file the claim, First American agreed to pay the full amount of the policy cap of 25K for such claims (hey, it's something!).   So in

happy insured

Hi Diane,  thought I would follow up to share the outcome of this title insurance claim for the costly non-permitted construction on our house...

Even though our legal matter with the sellers was far down the road (and stalled) and only then had we decided to file the claim, First American agreed to pay the full amount of the policy cap of 25K for such claims (hey, it's something!).   So in

just curious

How many states or underwriters require a written quality control plan for title agencies?  I just had an inquiry from a reader in Kentucky who is looking for a plan.

just curious

How many states or underwriters require a written quality control plan for title agencies?  I just had an inquiry from a reader in Kentucky who is looking for a plan.

JC's response to the last post.

JC says, if anything, what he hears most often now from borrowers is, "Is that all?", and I think that's just darn exciting.  RESPA 2010 has turned the world of the Good Faith Estimate on its head.

JC's response to the last post.

JC says, if anything, what he hears most often now from borrowers is, "Is that all?", and I think that's just darn exciting.  RESPA 2010 has turned the world of the Good Faith Estimate on its head.

the great silence.....can you hear it?

I cannot remember the last time a consumer called or cried about their amount of cash required for closing.

How amazing is that?  It's wonderful.  It is life changing.

HUD, thank you.

Your plan worked.  The new GFE and HUD-1 2010 RESPA standards have accomplished what years of training couldn't - accountability in disclosure.

Put the fear of real penalties in the hearts of loan officers and

the great silence.....can you hear it?

I cannot remember the last time a consumer called or cried about their amount of cash required for closing.

How amazing is that?  It's wonderful.  It is life changing.

HUD, thank you.

Your plan worked.  The new GFE and HUD-1 2010 RESPA standards have accomplished what years of training couldn't - accountability in disclosure.

Put the fear of real penalties in the hearts of loan officers and