Last updated: April 14, 2026 by the AnnuityJournal Editorial Team.
Transamerica Life Insurance Company is one of the most recognizable names in U.S. retirement services, with the pyramid headquarters skyline in San Francisco having been its iconic image for decades. Today the company is headquartered in Baltimore, Maryland, with a major operations hub in Cedar Rapids, Iowa, and is a wholly owned subsidiary of Dutch insurer Aegon N.V. Transamerica has an AM Best A (Excellent) rating and manages more than $140 billion in insurance and retirement assets.
Transamerica’s strength is in variable annuities (VAs) with guaranteed living benefit riders, though the company also issues fixed indexed annuities, single premium immediate annuities, and a limited MYGA lineup. Their distribution reach is broad, covering independent agents, wirehouse broker-dealers, and bank channels.
Key Takeaways
- AM Best A (Excellent) rating, A from S&P, A1 from Moody’s
- Owned by Aegon N.V. (Netherlands) since 1999
- Strong variable annuity lineup with GLWB and GMWB income riders
- $140B+ in insurance and retirement assets
- Broad distribution: independent agents, broker-dealers, and banks
Transamerica Company Overview
Transamerica was founded in 1904 by Italian-American banker A.P. Giannini in San Francisco. It grew into one of the largest U.S. financial conglomerates by the 1970s, at one point owning Occidental Life, Transamerica Airlines, and Budget Rent a Car. In 1999, Dutch insurer Aegon N.V. acquired Transamerica for approximately $9.7 billion, and today Transamerica operates as Aegon’s primary U.S. retail insurance and retirement platform.
Transamerica Life Insurance Company is the Iowa-domiciled insurer that issues most annuity contracts sold under the Transamerica brand. Transamerica Financial Life Insurance Company handles New York State business. Both are well-capitalized and regulated.
Transamerica Annuity Products
Variable Annuities
Transamerica Principium IV is the flagship variable annuity. It offers access to over 65 professionally managed subaccounts with optional guaranteed lifetime withdrawal benefit (GLWB) riders. The Transamerica Income Edge rider guarantees future lifetime income at a specified percentage of the benefit base. Suits accumulation-focused buyers who want market growth with a pension-like income floor.
Transamerica Extra is a premium-bonus variable annuity. Transamerica adds up to a 6% bonus at issue, which vests over a multi-year recapture schedule. Suits buyers who want a larger initial account balance to grow from.
Fixed Indexed Annuities (FIAs)
Transamerica MasterDex series credits interest based on annual point-to-point or monthly-averaging performance of indices like the S&P 500. Full principal protection. Optional income riders available. See our FIA guide for background.
Income Annuities (SPIAs)
Transamerica Income Select is a single premium immediate annuity with payout options including life-only, joint life, period certain, and life with period certain. Competitive at ages 65 and up.
Financial Strength & Ratings
| Rating Agency | Rating | Meaning |
|---|---|---|
| AM Best | A (Excellent) | Third-highest of 16 rating levels |
| S&P Global | A (Strong) | Strong capacity to meet financial commitments |
| Moody’s | A1 (Good) | Low credit risk, upper-medium grade |
| Fitch | A (Strong) | High credit quality |
Every Transamerica annuity is also backed by the state guaranty association in the policyholder’s state of residence, typically up to $250,000 per insurer per person.
Transamerica Pros and Cons
| Pros | Cons |
|---|---|
| Broad variable annuity lineup with GLWB/GMWB riders | VA internal expense ratios higher than typical mutual funds |
| Strong distribution through independent and wirehouse channels | MYGA rates generally not in the top 5 nationally |
| Aegon N.V. parent provides global capital backing | VA riders can have complex fee structures |
| Recognized brand with over a century of operating history | Product availability varies by state |
| Extensive subaccount options for variable annuities | FIA caps not always top-tier |
Who Is Transamerica Best For?
- Variable annuity buyers seeking guaranteed lifetime income: Transamerica’s VA lineup with GLWB riders is among the most flexible available.
- Accumulation-focused retirees: The premium-bonus Transamerica Extra gives buyers a larger starting balance.
- Brand-conscious buyers: Over a century of operating history and Aegon’s global scale appeal to buyers who value institutional track record.
- Buyers working with wirehouse advisors: Transamerica’s distribution footprint includes most major broker-dealers.
Who Should Not Buy a Transamerica Annuity
- Rate-focused MYGA buyers. Transamerica’s MYGA rates trail the alternative-credit-backed carriers like Athene and Global Atlantic.
- Buyers who dislike VA fee complexity. Variable annuity fee stacks (mortality and expense, subaccount fees, rider fees) can reach 3% or more annually.
- Buyers who want A++ ratings. Transamerica is solidly A, but not in the top AM Best tier.
How to Buy a Transamerica Annuity
- Find a licensed independent agent or registered representative appointed with Transamerica.
- Request an illustration for the specific product, contract term, and riders you are considering.
- Compare fees and features against at least two other A-rated VA or FIA carriers. Fee comparisons matter more for variable annuities than MYGAs.
- Complete the application. Fund by wire, check, 1035 exchange, or IRA rollover.
- Review during the free-look period, which is 10 to 30 days depending on state.
Frequently Asked Questions
Is Transamerica a good annuity company?
Yes. Transamerica holds an A (Excellent) AM Best rating, A from S&P, and A1 from Moody’s. With over $140 billion in assets and more than 120 years of operating history, the company is financially sound. Its strengths lean toward variable annuities with living benefit riders.
Who owns Transamerica?
Transamerica is wholly owned by Aegon N.V., a Dutch insurance group headquartered in The Hague. Aegon acquired Transamerica in 1999 for approximately $9.7 billion and still operates it as their primary U.S. subsidiary.
What types of annuities does Transamerica offer?
Transamerica offers variable annuities (Principium IV, Transamerica Extra), fixed indexed annuities (MasterDex series), single premium immediate annuities (Income Select), and a limited MYGA lineup. Their strength is in variable annuities with guaranteed lifetime income riders.
What is Transamerica’s AM Best rating?
Transamerica Life Insurance Company holds an A (Excellent) rating from AM Best, the third-highest of sixteen levels. It also carries A from S&P, A from Fitch, and A1 from Moody’s.
Are Transamerica annuities safe?
Transamerica annuities carry the same guarantees as any fixed annuity from an A-rated U.S. insurer. Variable annuity subaccount values fluctuate with market performance, but any guarantees written into the contract (lifetime income, death benefit) are backed by Transamerica’s claims-paying ability, its reserves, and the policyholder’s state guaranty association.
How do Transamerica variable annuity fees compare to mutual funds?
Variable annuities typically carry higher all-in costs than standalone mutual funds because of mortality and expense (M&E) charges, subaccount fees, and optional rider fees. A typical Transamerica VA with a GLWB rider might run 3.0% to 3.5% annually in total fees. The trade-off is the guaranteed income floor the rider provides.
Can I buy a Transamerica annuity directly?
No. Transamerica annuities are sold only through licensed insurance agents, registered representatives, and broker-dealers. You cannot buy directly from Transamerica.
Where is Transamerica headquartered?
Transamerica’s U.S. headquarters is in Baltimore, Maryland, with a major operations center in Cedar Rapids, Iowa. The iconic Transamerica Pyramid in San Francisco was sold in 2020 and is no longer a Transamerica office, though the building and brand image remain culturally linked to the company.
