Easing Anxiety, Building Protection with Annuities

Jul 17, 2025

Every day for the next few years, more than 11,000 Americans will reach the traditional retirement age of 65 – a milestone that should be a time of celebration and possibility. Yet for many, it also brings real concerns about financial readiness and security.

According to the new research from the Alliance for Lifetime Income, more than half (54%) of Baby Boomers and Gen-Xers are fearful of outliving their savings in retirement. Among those ages 61-65, 30% are considering delaying their retirement. And among those already retired, 47% say that spending money in retirement gives them anxiety.

With so much uncertainty today, it’s not surprising that more Americans are turning to a proven source of financial security: annuities. They are the only financial products in the private marketplace which provide a guaranteed monthly income like a traditional pension, providing peace of mind regardless of what is happening in the financial markets. This has made annuities an increasingly popular retirement strategy. Indeed, 50% of financial advisors said they are putting more client investments into annuities.

Statistics from LIMRA bear this out. Americans have turned to annuities in record numbers in recent years, including more than $100 billion the last six quarters.

Research recently published in the Journal of Retirement confirms that savers of any net worth can benefit from annuities. They provide retirees with a steady flow of income, which lessens financial pressures on their other resources and supports continued wealth accumulation.

More than nine out of 10 pre-retirees say protection is important to their retirement plans. With millions of Americans facing retirement pressures, it is crucial that public policy continues to support savers having ready access to the guaranteed protected income from annuities.

Retirement Security

Annuity Awareness

Jim Szostek

Jim Szostek is Vice President & Deputy, Retirement Security at the American Council of Life Insurers (ACLI). He helps guide ACLI policy on legislation and regulations affecting the U.S. retirement system. Prior to joining ACLI in 2008, he held positions at CIGNA and The Hartford.