Jack Marrion’s Index Compendium for February 2012 includes a reference to Ruark Consulting’s recently completed Fixed Indexed Annuity Surrender Study, as follows:

Index Annuity Surrenders Sharply Down

Based on data from carriers representing 80% of industry sales, a new study published by Ruark Consulting (www.ruarkonline.com) finds that surrenders of index annuity contracts declined significantly from 2006 to 2010.  Ruark believes this to be due to less competitive alternatives, use of GLWB’s and greater suitability standards.  The Ruark study confirms predictions made by Advantage Compendium in 2008 that annuity exchanges would decline due to annuity lifetime benefits and tightened compliance.

(Used with permission)