Some insurance companies are considering lowering their payout rates in fixed annuities, a move that could hurt sales for bank brokerages that have made the product a staple of their business.

The potential move is in response to insurance rating agencies that are forcing companies to raise the levels of reserves they maintain. To meet the requirements, insurance companies may decide to lower guaranteed rates of return on their annuity products.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.