Sales of structured variable
annuities increased 15%, year-over-year, to $1.7 billion.
Several new forms of variable annuities have emerged, including: growth-oriented variable annuities that do not offer living benefits but have generally lower costs and more investment offerings; structured variable
annuities, which are linked to an equity index and have caps and buffers to provide upside growth potential with downside protection; and variable annuities with living benefits designed for immediate income.
Default values can be assigned to each variable and to the separate elements of a structured variable
. These values are assumed after a cold start, or when a station is initialized.
In addition, properly structured variable
annuities offer safety, asset protection and--for Americans--tax-deferral.