How do I Buy an Annuity?

August 1, 2019

Looking to buy an annuity or invest in an annuity? An insurance rep or financial advisor can help.

You can buy a fixed, fixed-index, or immediate annuity from most licensed life insurance agents in your state or a financial advisor. In order to sell annuities, individuals must have a state insurance license from the state in which their office is located. A non-resident license must be obtained for all states in which out-of-state clients reside.

Since variable annuities are considered securities under federal securities laws, individuals who wish to sell them must, in addition to having an insurance license, be associated with a broker-dealer, be federally registered as a representative, and pass a Series 6 exam, or the more comprehensive Series 7 exam. Most financial advisors found at the larger financial services firms, banks, and independent broker-dealers will offer these. It’s not definite that an insurance rep can offer variable annuities.

If you are considering an annuity purchase, be sure to fill out our quote form to research suitable options available.