Annuities are more in demand than ever—and it’s easy to see why. In a market where volatility, inflation, and longevity risks still weigh on retirees, clients want safety, income, and peace of mind. Annuities check all those boxes. But even with growing interest, objections still come up. That’s your opportunity. When you can confidently respond to concerns and reframe the conversation, you build trust – and turn maybe into yes.
Let’s break down the most common annuity objections—and how to respond in a way that builds trust and keeps the conversation moving forward.
“Annuities are too expensive.”
Your Response:
Shift the conversation from cost to value. Fees are part of any financial product, but annuities provide benefits that many other vehicles can’t match, like guaranteed income for life or protection from market downturns. Use real examples to show how the benefits can outweigh the costs.
Run a side-by-side comparison of annuity income vs. a traditional drawdown strategy in retirement.
“I’ve heard annuities are too complicated.”
Your Response:
Acknowledge the confusion—and then simplify. There are many types of annuities, yes, but most clients don’t need to know all the mechanics. Focus on the outcomes: predictable income, tax deferral, legacy planning, etc.
Use analogies: “Think of this annuity like a personal pension you can’t outlive.”
“I don’t want to lock up my money.”
Your Response:
Explain the liquidity features. Many modern annuities include free withdrawal provisions, nursing home waivers, and return of premium options. Help clients see how annuities can be both flexible and safe.
Ask, “How much of your portfolio do you want protected from risk?”—then position the annuity accordingly.
From Objection to Opportunity
Every objection is a chance to educate, empathize, and elevate the conversation. If you lead with questions, listen to their concerns, and tailor the solution—not just the product—you won’t just overcome objections. You’ll build trust and long-term relationships.
But even the best conversations need the right tools behind them. That’s why we’re making it easier than ever to respond with confidence, clarity, and credibility.
To support your outreach during Annuity Awareness Month, IAMS has brought back one of our most requested resources: the Annuity Awareness Month Sales Kit, refreshed and reloaded for 2025.
Here’s what’s inside:
- Top Annuity Solutions for 2025
- Client data forms and fact-finders
- Plug-and-play social media posts
- PowerPoint presentations
- A Volatility Risk flyer
- Exclusive market studies
- Concept pages, email templates, and more!
Whether you’re checking in with your existing clients or reaching out to new prospects, this kit is your go-to resource for overcoming objections.
