We are a direct to consumer multi-carrier annuity platform with the largest annuity product mix in the U.S. Compare more than 600 live annuity rates, download brochures, quickly access annuity company reviews and financial ratings, and complete your application online. Compare guaranteed 5-year rates side by side, see each insurer's financial strength rating, and check the contract terms before you talk to anyone.
Rates vary by state, premium, and product availability. Guarantees depend on the issuing insurer's claims-paying ability.
The best 5-year fixed annuity rate is 7.00% from Mountain Life on the Simple Summit 5 (Simple Interest), rated B- by AM Best.
A fixed annuity is a contract with a life insurance company. A multi-year guaranteed annuity (MYGA) credits a fixed interest rate for a set number of years. People often call it a "CD-type annuity" because the rate and term work in a similar way, but it is an insurance contract, not a bank CD, and it is not FDIC insured.
One leading option per guarantee period, 2 through 10 years. Each term links to its own rate page.
| Term | Carrier | Product | Guaranteed Rate | AM Best Rating | Apply |
|---|---|---|---|---|---|
| 2 years | CL Life | CL Sundance 2 | 5.25% | B++ | Apply |
| 3 years | Mountain Life | Simple Summit 3 (Simple Interest) | 6.50%Simple interest | B- | Apply |
| 4 years | Mountain Life | Alpine Horizon 4 | 6.05% | B- | Apply |
| 5 years | Mountain Life | Simple Summit 5 (Simple Interest) | 7.00%Simple interest | B- | Apply |
| 6 years | Oceanview Life and Annuity | Harbourview 6 | 6.10% | A | Apply |
| 7 years | Knighthead Life | Staysail 7 (Simple Interest) | 7.10%Simple interest | A- | Apply |
| 8 years | Mountain Life | Secure Summit 8 | 6.00% | B- | Apply |
| 9 years | Oxford Life Insurance Company | Multi-Select 9 | 5.95% | A | Apply |
| 10 years | Revol One Financial | BreakThrough 10yr | 6.30% | B++ | Apply |
Source: AnnuityRateWatch feed, refreshed daily. AM Best ratings describe an insurer's financial strength, not a product's suitability for you. Contracts marked simple interest credit interest on the original premium only. Rates are subject to change without notice.
5-year comparison
The 15 highest guaranteed 5-year rates we track, with the details that matter when you compare them.
| Carrier / Product | Guaranteed Rate | AM Best Rating | Minimum Premium | Action |
|---|---|---|---|---|
| Mountain LifeSimple Summit 5 (Simple Interest) | 7.00%Simple interest, about 6.19% compounded | B- | $5,000 | Get Quote |
| Knighthead LifeStaysail 5 (Simple Interest) | 6.65%Simple interest, about 5.91% compounded | A- | $100,000 | Get Quote |
| Knighthead LifeStaysail 5 CA (Simple Interest) | 6.65%Simple interest, about 5.91% compounded | A- | $100,000 | Get Quote |
| IbexisMYGA Plus 5 (Simple Interest) | 6.60%Simple interest, about 5.87% compounded | A- | $100,000 | Get Quote |
| Ability Insurance CompanyReliAbility MYGA 5 | 6.50% | B+ | $50,000 | Get Quote |
| IbexisMYGA Plus 5 (Simple Interest) CA | 6.50%Simple interest, about 5.79% compounded | A- | $100,000 | Get Quote |
| Mountain LifeAlpine Horizon 5 | 6.45% | B- | $5,000 | Get Quote |
| Wichita National Life Insurance CompanySecurity 5 | 6.40% | B+ | $10,000 | Get Quote |
| AspidaSynergy Choice 5 | 6.30% | A- | $100,000 | Get Quote |
| SBLI -Savings Bank Life Insurance of MAECAccumulate | 6.30% | A | $100,000 | Get Quote |
| CL LifeCL Sundance 5 | 6.25% | B++ | $20,000 | Get Quote |
| Farmers Life Insurance CompanyFarmers Safeguard Plus 5 | 6.25% | B++ | $10,000 | Get Quote |
| Revol One FinancialBreakThrough 5yr | 6.25% | B++ | $10,000 | Get Quote |
| Revol One FinancialDirectGrowth 5 | 6.25% | B++ | $10,000 | Get Quote |
| Wichita National Life Insurance CompanySecurity 5 w/ 10% Free Withdrawal Rider | 6.25% | B+ | $10,000 | Get Quote |
Verified October 21, 2026. Minimum premiums are for non-qualified (after-tax) funds. Rates vary by state and premium. See every 5-year contract in the full fixed annuity rate table.
The highest rate isn't the only thing to compare. Look at the insurer's financial strength, how much you can withdraw each year without a surrender charge, and what happens when the 5-year guarantee ends.
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These are the top 10 insurers by fixed-rate deferred annuity sales in 2025, according to LIMRA. U.S. fixed-rate deferred annuity sales reached $165.3 billion for the year, and the top 20 carriers wrote 75% of it.
Sales volume shows which companies sell the most. It does not measure financial strength or tell you whether a product suits you. Check the AM Best rating and read the best fixed annuity companies guide before you choose.
| Rank | Company | 2025 fixed-rate deferred sales |
|---|---|---|
| 1 | Athene Annuity & Life | $17.55 billion |
| 2 | New York Life | $16.97 billion |
| 3 | Massachusetts Mutual Life | $12.21 billion |
| 4 | Corebridge Financial | $10.49 billion |
| 5 | USAA Life | $7.63 billion |
| 6 | Nationwide | $7.18 billion |
| 7 | Pacific Life | $5.42 billion |
| 8 | Western Southern Group | $5.41 billion |
| 9 | American National Insurance | $5.15 billion |
| 10 | Symetra Financial | $5.09 billion |
Source: LIMRA, U.S. Individual Fixed Annuity Sales Breakout, 2025 Year-End Rankings (U.S. Individual Annuities Sales Survey). Fixed-rate deferred column only. Company names as LIMRA reports them; each links to our review of that carrier.
It is important to understand how annuity rates work for each type of annuity as they represent the percentage by which your annuity will grow each year.
Fixed deferred annuity rates are influenced by the economy, how long you invest, liquidity features, and the financial ratings of the issuing insurance company. Historically, the longer you invest the higher your rate of return would be; however, short term annuity rates are currently higher than longer durations.
The rate of return on an annuity is a crucial factor to consider when choosing an annuity product.
One of the main factors that determine annuity rates is the current interest rate environment. In general, annuity rates tend to be higher when interest rates are higher, and lower when interest rates are low.
Immediate annuity lifetime income payments are established using the factors below:
Annuity rates are influenced by US Treasury rates because insurance companies invest much of their assets in high-quality bonds and U.S. Treasuries.
This is why current annuity rates often mirror the interest rates available in other fixed-income investments, primarily bonds and U.S. Treasuries. When bond rates increase, annuity rates usually go up as well.
The Federal Reserve's target range for the federal funds rate is 3.75% to 4.00% as of October 20, 2026. The last move was a 25 basis point hike, effective September 17, 2026, which left the target at its highest level since December 2025. Over the past 12 months the Fed has made 1 hike and 2 cuts. The next Fed decision is scheduled for October 28, 2026.
| Date | Rate Change | Target Range |
|---|---|---|
| Sep 17, 2026 | +25 bps | 3.75% to 4.00% |
| Dec 11, 2025 | -25 bps | 3.50% to 3.75% |
| Oct 30, 2025 | -25 bps | 3.75% to 4.00% |
| Sep 18, 2025 | -25 bps | 4.00% to 4.25% |
| Dec 19, 2024 | -25 bps | 4.25% to 4.50% |
| Nov 8, 2024 | -25 bps | 4.50% to 4.75% |
| Sep 19, 2024 | -50 bps | 4.75% to 5.00% |
| Jul 27, 2023 | +25 bps | 5.25% to 5.50% |
| May 4, 2023 | +25 bps | 5.00% to 5.25% |
| Mar 23, 2023 | +25 bps | 4.75% to 5.00% |
| Feb 2, 2023 | +25 bps | 4.50% to 4.75% |
| Dec 15, 2022 | +50 bps | 4.25% to 4.50% |
Source: Federal Reserve Bank of St. Louis, FRED series DFEDTARU. Changes in basis points, effective dates. Updated automatically.
Your rate is set by your application date, not the day rates change. Request a quote and we will confirm current rates for your state and premium, in writing, so you can decide before the market moves.
A fixed annuity is a contract in which a life insurance company guarantees an interest rate on your money for a stated period. Your balance grows at that rate regardless of what the stock market does.
A multi-year guaranteed annuity (MYGA) locks the rate for the full term, for example 3, 5, or 7 years. Traditional fixed annuities may guarantee a rate for only the first year.
When the guarantee period ends, the insurer may offer a renewal rate, which can be higher or lower than your original rate. Surrender periods, renewal options, and what you can do at the end of the term depend on the contract, so read the disclosure before you buy.
The interest you earn in an annuity grows tax-deferred, which means you don't have to pay taxes on the interest your annuity earns until you make a withdrawal from your annuity. Generally speaking, earnings from annuities are taxed at your ordinary income tax rate using the LIFO (last in first out) method.
Ultimately, the manner in which your annuities earning will be taxed depends on the type of funds you use to purchase the annuity.
Held in a Roth IRA. Qualified distributions can be tax-free under Roth rules. The annuity doesn't add extra tax benefits.
Bought with pre-tax money in a traditional IRA or employer plan. Withdrawals are generally taxable, and required minimum distributions apply.
Bought with after-tax money. Earnings are tax-deferred and taxed as ordinary income when withdrawn.
Below is an example showing how tax deferral could increase your earning power. Consider someone whose Federal Tax bracket is 32% owns an annuity that earns 4.50%.
To match those same earnings in a taxable investment they would have to earn 6.62% instead.
| Federal tax bracket | ||||
|---|---|---|---|---|
| 22% | 24% | 32% | 35% | |
| If your tax-deferred annuity earns: | You'd have to earn this rate in a taxable investment to match the earnings of your fixed annuity: | |||
| 3.50% | 4.49% | 4.61% | 5.15% | 5.38% |
| 4.00% | 5.13% | 5.26% | 5.88% | 6.15% |
| 4.50% | 5.77% | 5.92% | 6.62% | 6.92% |
| 5.00% | 6.41% | 6.58% | 7.35% | 7.69% |
| 5.50% | 7.05% | 7.24% | 8.09% | 8.46% |
| 6.00% | 7.69% | 7.89% | 8.82% | 9.23% |
Simplified illustration of current-year tax deferral only. It isn't an after-tax return equivalent: taxes are generally due when annuity earnings are withdrawn, and your result depends on your tax rates then. See IRS Publication 575.
A MYGA and a bank CD both pay a fixed rate for a set term. They differ in who issues them, how they're protected, and how they're taxed. For the full breakdown, read our fixed annuity vs CD comparison.
| Feature | Bank CD | Fixed annuity (MYGA) |
|---|---|---|
| Issued by | Bank or credit union | Life insurance company |
| Investment amount | Minimums set by each bank, often low | Minimums set by each product; commonly a few thousand dollars or more |
| Term | A few months to several years | Typically 2 to 10 years |
| Rates | Fixed for the CD term | Guaranteed for the stated period; renewal rates may differ |
| Liquidity | Early withdrawal penalty set by the bank | Surrender charges and possible market value adjustment during the surrender period. Some contracts allow limited free or interest withdrawals. |
| Guarantees | FDIC or NCUA insured up to applicable limits | Not FDIC insured. Backed by the insurer's claims-paying ability; state guaranty association coverage varies by state and eligibility. |
| Death benefit | Balance passes per account titling or beneficiary | Defined by the contract; many waive surrender charges at death, but terms vary |
| Tax treatment | Interest generally taxable each year | Earnings in nonqualified contracts generally tax-deferred until withdrawn, then taxed as ordinary income. Lifetime income options available. |
While most industry sectors struggled, annuity companies actually thrived despite paying out more money in 2019 than any other year.
Annuity Company Financial Reserves also hit an all-time high of $4.4 Trillion during the Covid-19 Pandemic; according to data recently published by the American Council of Life Insurers (ACLI).
Industry-wide reserve figures describe the life insurance industry as a whole. They don't show that any individual insurer or annuity is risk-free. Read more in our guide to whether annuities are safe.
When you compare 5-year fixed annuity rates, weigh the insurer's rating and the withdrawal terms alongside the rate itself.
It takes three steps. First, compare guaranteed rates, terms and insurer ratings on this page, or request a quote. Second, talk with a licensed annuity specialist about your goals, your state's availability and the contract terms, with no obligation. Third, if you choose a product, we help you complete the insurer's annuity application and fund the contract.
The insurance company pays us a commission after a contract is issued. It is built into the product's pricing rather than deducted from your premium, so the rate you see is the rate the carrier credits. Our process explains every step.
No. We never sell your information. We use what you send us to prepare your quote and follow up, as described in our privacy policy.
No. You pay no fees and no commissions to us. Annuity contracts can carry their own costs: surrender charges for early withdrawals, possible market value adjustments, and charges for optional riders. Each contract's disclosure lists them.
No. Annuities are issued by insurance companies, not banks, and are not FDIC insured. Guarantees depend on the issuing insurer's financial strength and claims-paying ability. Your state guaranty association provides limited protection if an insurer fails, and limits vary by state.
Usually a multi-year guaranteed annuity (MYGA) that credits one fixed rate for 5 years, with a surrender schedule over the same period. At the end of the term you can typically renew, move the money through a 1035 exchange, annuitize, or withdraw. Our guide to what happens when an annuity matures walks through each option.
The best 5-year fixed annuity rate is 7.00% from Mountain Life on the Simple Summit 5 (Simple Interest), rated B- by AM Best. As of October 21, 2026, the highest guaranteed fixed annuity rate we track is 7.10% for a 7-year MYGA from Knighthead Life (simple interest). Rates vary by state, premium and availability, so compare the full fixed annuity rate table before you apply.
How surrender periods work and what you can take out each year without a penalty.
Your renewal, rollover, income and withdrawal options at the end of the guarantee period.
Move an existing annuity into a new contract without triggering a taxable event.
Written by
Jason founded My Annuity Store in 2020 to help people compare annuities from many insurers and buy with full information. He brings more than 20 years of annuity industry experience and works with clients on MYGAs, income annuities, and fixed index annuities.
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