Best Annuity Rates in Maryland

Top Annuity Rates Available in Maryland Right Now

Maryland investors seeking secure, tax-deferred growth are in a favorable position in 2025, as fixed annuity and Multi-Year Guaranteed Annuity (MYGA) rates continue to offer strong returns. The best annuity rates currently range from 5.25% to 5.65%, depending on the term length and insurance provider. Leading companies like Athene, Sentinel Security Life, Oceanview Life, and Fidelity & Guaranty Life are offering competitive products across multiple contract durations. These rates present an excellent opportunity for conservative investors to earn reliable returns without market exposure.

Which Maryland Banks Offer the Best CD Rates?

For those comparing annuities to certificates of deposit (CDs), several banks in Maryland provide competitive rates, though generally lower than annuities. As of 2025, the top CD rates in Maryland range from 4.50% to 5.00% for terms of 1 to 5 years. Notable local institutions like Sandy Spring Bank, M&T Bank, PNC Bank, and Howard Bank offer attractive rates on CDs, but they often lack the tax-deferred growth and higher yields available through fixed annuities. For larger deposits or retirement planning, annuities typically offer greater flexibility and better long-term value.

Monthly Income from a $1,000,000 Annuity

A $1,000,000 annuity can generate substantial monthly income in Maryland. For a 65-year-old selecting a single-life immediate annuity, the payout typically ranges from $5,000 to $6,300 per month, depending on the structure and optional features such as joint-life coverage, inflation protection, or guaranteed periods. If the annuity is deferred and income begins later, the monthly payout can increase significantly due to compounded growth. Lifetime annuities ensure income continues even if the annuitant outlives their principal.

Are Annuities Protected in Maryland?

Yes, annuities issued by licensed insurance companies in Maryland are insured through the Maryland Life and Health Insurance Guaranty Corporation. This organization provides protection of up to $250,000 per individual per company in the event the insurance provider becomes insolvent. While this coverage offers security, it's still critical to work with financially strong, highly rated companies to minimize risk and ensure long-term stability.

Best 5-Year Fixed Annuity Rates in Maryland

For those seeking a mid-term investment option, 5-year fixed annuities are especially appealing in 2025. The top 5-year annuity rates in Maryland range between 5.30% and 5.45%, with contracts offering guaranteed interest, principal protection, and tax-deferred growth. These annuities are ideal for individuals approaching retirement or rolling over maturing CDs or 401(k) plans. Carriers such as Delaware Life, Midland National, and Nassau Re are offering standout 5-year contracts that also allow for 10% annual withdrawals without penalty.

Highest-Yielding 10-Year Fixed Annuities

For investors with a long-term outlook, 10-year fixed annuities offer security and some of the best interest rates available today. In Maryland, top insurers are offering rates from 5.50% to 5.65%, depending on deposit size and age. These contracts lock in a high rate for a decade and are ideal for pre-retirees who want to grow their funds without market volatility. Popular providers include Athene, North American, American National, and Lincoln Financial, offering robust contracts with optional riders for enhanced flexibility.

Best 3-Year Fixed Annuity Rates in Maryland

Short-term investors can benefit from 3-year fixed annuity contracts, which provide excellent yields with relatively low commitment. Maryland residents can currently secure 3-year MYGA rates between 5.00% and 5.25%, making these annuities attractive alternatives to bank savings and short-term CDs. Top providers like SILAC Insurance, Liberty Bankers Life, and Equitrust offer contracts with simple terms, penalty-free withdrawals (usually up to 10% per year), and automatic renewal options.

Exploring 30-Year Annuity Payout Options

A 30-year annuity is best suited for individuals who desire long-term stability or want to structure income across multiple decades. A $1,000,000 investment in a 30-year fixed income annuity can generate $4,200 to $5,300 per month, depending on the insurer and age at purchase. Alternatively, deferred 30-year annuities offer compounded growth and tax-deferred accumulation over time, typically with annual rates between 4.75% and 5.25%. Companies like New York Life, Protective Life, and MassMutual offer flexible 30-year solutions with optional death benefit riders and inflation-adjusted payouts.

Current 5-Year Annuity Rates in Maryland

As of early 2025, current 5-year annuity rates in Maryland remain strong, mirroring the broader national trends. The best rates range from 5.30% to 5.45%, depending on the insurer and contract specifics. These fixed annuities are especially popular among retirees and conservative investors seeking a stable investment without the risk associated with stocks or bonds. Benefits include guaranteed interest, tax deferral, and the option to convert the contract into a lifetime income stream after the term ends.

20-Year Annuity Income Options

A 20-year annuity can be structured for fixed income or deferred growth, making it suitable for both retirees and long-term savers. A $500,000 investment structured as a 20-year income annuity could pay $2,800 to $3,200 per month, depending on the payout method, age, and contract features. For deferred growth, annual rates of 5.25% to 5.50% are available, offering long-term compounding and a reliable option for future income or legacy planning. Trusted providers include Guardian Life, Mutual of Omaha, and Lincoln Financial.

Best 2-Year Fixed Annuity Rates in Maryland

For ultra-short-term investors, 2-year fixed annuities provide a safe way to grow savings without tying up funds for too long. In Maryland, the best 2-year fixed annuity rates currently range from 4.85% to 5.00%. These are particularly useful for bridging financial gaps or preparing for a near-term purchase. Providers like Atlantic Coast Life, Liberty Bankers Life, and SILAC offer straightforward 2-year contracts with low fees and easy access to a portion of funds through annual withdrawal allowances.

Lifetime Income Annuity Rates for Maryland Residents

Lifetime annuities are designed to provide consistent income for as long as the annuitant lives, protecting against the risk of outliving your savings. In Maryland, a 65-year-old investing $100,000 in a single-life immediate annuity can expect monthly income of $550 to $650, depending on provider and contract options. Joint-life annuities reduce initial payouts slightly but continue payments to a surviving spouse. Companies like MassMutual, Guardian, New York Life, and Allianz offer reliable lifetime annuity products with customizable features such as guaranteed minimum payouts and inflation adjustments.

FINAL THOUGHTS

Maryland residents in 2025 are well-positioned to benefit from some of the highest annuity rates seen in years. Whether you're planning for short-term growth, 20-year security, or lifetime income, today's fixed annuities offer strong yields, flexible features, and dependable guarantees. Compared to CDs and other savings vehicles, annuities provide tax-deferred growth and tailored income solutions that can support both retirement and legacy goals. Alpha Book Publisher recommends working with top-rated insurers and using annuity calculators to compare the best options aligned with your financial future.