Allstate, Scudder Join to Sell No-Load Annuities

Share this content:
Allstate Life Insurance Co. is using a strategic agreement with Scudder Kemper Investments Inc. as a jumping-off point to market no-load variable annuities.

Scudder, Boston, will continue to sell its no-load Scudder Horizon Plan variable annuity through direct means, but it now will be underwritten by Glenbrook Life and Annuity Co., Glenbrook, IL, a subsidiary of Allstate, Northbrook, IL. Scudder had been marketing the annuity with Charter National Life Insurance Co, St. Louis, whose business Allstate is in the process of purchasing.

"We are really interested in the direct marketing potential of variable annuities. That's really the reason we purchased the Charter business,'' said John Hunter, head of Allstate's broker-dealer division. "The no-load mutual fund business has really taken off, and we think no-load variable annuities will as well.''

According to estimates by the Variable Annuity Research and Data Service, 2 percent of the $87 billion annuity market was reached by direct means in 1997. It predicts direct marketing will generate 5 percent of sales by 2000.

Offers for the Scudder Horizon Plan, which has been available since 1988, are sent as a stand-alone mail piece to select Scudder investors and prospects that call the company's toll-free numbers (1-800-SCUDDER, 1-800-225-2470) requesting information on annuities.

Allstate, the country's largest publicly held personal insurance company, has been selling supplemental life and health insurance policies directly to Sear's and Shell Oil credit card holders since the mid 1960s and in the past two years has expanded its client base with a number of affinity bank card relationships.

Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above