Compare Annuity Rates by State
Annuity rates aren't the same everywhere. The rate you're offered on a Multi-Year Guaranteed Annuity (MYGA) or fixed annuity depends in part on where you live. That's because each state has its own insurance regulations, carrier licensing requirements, and guaranty association protections, all of which influence which products are available to you and at what rates.
We've built individual rate pages for all 50 states so you can see exactly which carriers and products are available in your state, along with today's best rates.
Select your state below to view current annuity rates available to you.
State Guaranty Association Coverage Limits
Every state has a guaranty association that protects annuity owners if an insurance company becomes insolvent. Coverage limits vary by state. Here's a quick reference:
| Coverage Level | States |
|---|---|
| $500,000 | Connecticut, New Jersey, New York, Washington |
| $300,000 | Arizona, Arkansas, Delaware, District of Columbia, Florida, Georgia, North Carolina, Oklahoma, Pennsylvania, South Carolina, Texas, Wisconsin |
| $250,000 | Alabama, Alaska, California, Colorado, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Mexico, North Dakota, Ohio, Oregon, Rhode Island, South Dakota, Tennessee, Utah, Vermont, Virginia, West Virginia, Wyoming |
Why Do Annuity Rates Vary by State?
You might assume annuity rates are the same nationwide, but they're not. Here are the key reasons rates and product availability differ depending on your state of residence:
1. Carrier Licensing & Product Approval
Not every insurance company is licensed to sell annuities in every state. Each state's Department of Insurance must approve both the carrier and the specific annuity product before it can be offered to residents. This means:
- Some of the highest-rate carriers may not be available in your state
- Product features (like bonus rates or withdrawal provisions) may be modified to meet state-specific regulations
- New products may launch in some states before others
For example, New York has some of the strictest insurance regulations in the country, which means fewer carriers and products are available there, but the consumer protections are among the strongest.
2. State Guaranty Association Limits
Every state has a guaranty association that protects annuity owners if an insurance company becomes insolvent. These associations function somewhat like the FDIC does for bank deposits, but the coverage limits vary significantly by state, ranging from $250,000 to $500,000 per annuity contract. See the table above for your state's coverage level.
3. State Tax Treatment
While annuities grow tax-deferred at the federal level in all states, your state income tax situation can affect the overall value of an annuity:
- No state income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, Wyoming, annuity withdrawals face zero state tax
- High state income tax: California, New York, New Jersey, Oregon, withdrawals are taxed as ordinary income at the state level
- Pension/retirement exclusions: Some states (like Illinois, Mississippi, and Pennsylvania) exclude retirement income, including some annuity payments, from state taxation
Your state tax situation doesn't change the rate you're offered, but it does affect your net after-tax return, which is an important consideration. For a deeper dive, see: How Are Annuities Taxed?
4. Minimum Premium Requirements
Some carriers set different minimum deposit amounts depending on the state. A product that requires $10,000 minimum in one state might require $25,000 in another. This is typically driven by state regulatory requirements or the carrier's own risk-based pricing models.
How to Compare Annuity Rates in Your State
Finding the best annuity rate in your state takes more than just looking at the highest number. Here's what to evaluate:
Step 1: Check Carrier Financial Strength
Always start with the AM Best rating of the insurance company. We recommend working only with carriers rated A- or higher. A higher rate from a poorly-rated carrier isn't worth the risk.
→ Best Annuity Companies (2026)
Step 2: Compare Rates by Term
Rates vary significantly depending on the term length you choose. Longer terms generally offer higher rates, but they also lock up your money for longer:
| Term | Typical Rate Range (2026) | Best For |
|---|---|---|
| 2-Year | 4.50% – 5.25% | Short-term parking, rate uncertainty |
| 3-Year | 4.75% – 5.50% | Near-term needs, conservative savers |
| 5-Year | 5.00% – 5.90% | Most popular, balance of rate & flexibility |
| 7-Year | 5.25% – 6.25% | Higher yield seekers with longer horizon |
| 10-Year | 5.50% – 6.50% | Maximum rate, long-term accumulators |
→ Best 3-Year Rates | Best 5-Year Rates | Best 7-Year Rates | Best 10-Year Rates
Step 3: Understand Withdrawal Provisions
Most MYGAs allow penalty-free withdrawals of up to 10% of your account value per year after the first year. Some products offer:
- Interest-only withdrawals from day one
- Return of premium (ROP) provisions for full liquidity
- Nursing home or terminal illness waivers for penalty-free access
These features vary by product and state. Check your specific state page for details.
Step 4: Consider a Laddering Strategy
Rather than putting all your money into a single term, consider a MYGA laddering strategy, splitting your deposit across multiple terms (e.g., 3-year, 5-year, and 7-year). This gives you:
- Regular liquidity as each term matures
- Protection against rate changes
- Flexibility to reinvest at potentially higher rates
→ Annuity Laddering Strategy Guide
Frequently Asked Questions
Which state has the best annuity rates?
Do I have to buy an annuity in my home state?
Are annuity rates the same for qualified and non-qualified money?
How often do annuity rates change?
→ How Annuity Rates Are Set
What is a state guaranty association?
→ State Guaranty Associations Explained
Can I move to another state and keep my annuity?
Compare Rates by Term
Looking for the best rates regardless of state? Browse our term-specific rate pages:
