Want Guaranteed Income for Life? Annuities are the Only Solution
Dec 10, 2025
Want Guaranteed Income for Life? Annuities are the Only Solution
Dec 10, 2025
At a recent U.S. Senate Health, Education, Labor, and Pension Committee hearing titled “The Future of Retirement,” lawmakers highlighted a critical question: How can Americans ensure their savings last throughout retirement? The answer lies in a product only life insurers offer—annuities, the only solution in the private marketplace that provides guaranteed lifetime income.
The timing of this hearing was spot on. About 20 million Americans will be turning 65 by 2030, and most will not have a traditional pension. According to the Alliance for Lifetime Income by LIMRA’s 2025 Protected Lifetime Income & Planning (PRIP) study, 54% of Baby Boomers and Gen-Xers fear outliving their savings.
Annuities fill the gap left by the decline of traditional pensions. They convert savings into guaranteed monthly income that never runs out, regardless of market conditions—providing retirees with financial certainty and peace of mind.
The demand for guaranteed income is rising. Americans purchased a record $345 billion in annuities in the first nine months of 2025, following record annuity purchases the last three years.
Still, broad understanding of what annuities can offer remains very low. The PRIP study showed that just 28% of financial professionals believe their clients grasp annuities’ role “very well,” and only 14% of clients believe they have a strong understanding of annuities.
As Americans prepare for retirement, one of their most pressing questions is how to make their savings last. Fortunately, there is a clear answer: annuities. Public policy should support expanded access to annuities, the only solution that guarantees a secure and sustainable income throughout retirement.
Andrew Remo
Andrew Remo serves as Vice President, Retirement Security for the American Council of Life Insurers. In this capacity, he plays a leading role in advocating for policies that help people access the tools they need to save and ensure those savings last a lifetime. Previously, Andrew worked on these issues for the American Retirement Association and on Capitol Hill.
