Louisiana just made a major move: the state overhauled its entire income tax structure in 2025, replacing a complex graduated system with a simple flat 3% income tax rate — one of the lowest flat rates in the country. New Orleans, Baton Rouge, Shreveport, and the Northshore attract retirees drawn to Louisiana’s culture, cost of living, and now one of the most competitive income tax rates in the South. Before shopping rates, take a few minutes to understand how annuities work and which type fits your retirement income plan.
Below are today’s best MYGA rates available to Louisiana residents, filtered to A-rated carriers only, updated daily.
2-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Axonic Insurance | Waypoint 2 MYGA | 5.00%Top Rate | 2 yr | $100,000 | 10% | |
| Oceanview Life and Annuity | Harbourview 2 | 4.80% | 2 yr | $70,000 | 10% | |
| GBU Life | Asset Guard Select 2 | 4.75% | 2 yr | $25,000 | 10% | |
| Mass Mutual | Premier Voyage 2 | 3.45% | 2 yr | $1,000,000 | 10% |
3-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 3 (Simple Interest) SI | 5.60%Top Rate | 3 yr | $100,000 | 0% | |
| Axonic Insurance | Waypoint 3 MYGA | 5.40% | 3 yr | $100,000 | 10% | |
| Fidelity Security Life Insurance Company | TaxVantage® Multi-Year Guaranteed Annuity 3 | 5.25% | 3 yr | $2,500 | 0% | |
| Knighthead Life | Staysail 3 With Liquidity (Simple Interest) SI | 5.25% | 3 yr | $100,000 | 10% | |
| Ibexis | MYGA Plus 3 (Simple Interest) SI | 5.20% | 3 yr | $100,000 | 10% | |
| Athene IA | Athene Max Rate 3 | 4.90% | 3 yr | $100,000 | Interest Only | |
| Oceanview Life and Annuity | Harbourview 3 | 4.90% | 3 yr | $70,000 | 10% | |
| Midland National Life | MNL Guarantee Pro 3 | 4.85% | 3 yr | $100,000 | Interest Only |
4-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oceanview Life and Annuity | Harbourview 4 | 5.20%Top Rate | 4 yr | $70,000 | 10% | |
| Oxford Life Insurance Company | Multi-Select 4 | 5.10% | 4 yr | $20,000 | 10% | |
| Clear Spring Life | Preserve MYGA 4 | 4.90% | 4 yr | $100,000 | 10% | |
| Pacific Guardian Life | Diamond Head 4 | 4.80% | 4 yr | $10,000 | 10% | |
| GBU Life | Asset Guard Select 4 | 4.75% | 4 yr | $25,000 | 10% | |
| Guardian Insurance & Annuity Co. | Guardian Fixed Target Annuity 4 | 4.65% | 4 yr | $100,000 | 10% | |
| S.USA Life Insurance Company, Inc. | Select Choice® Plus 1 (4) Year Plan Base Policy MVA | 4.55% | 4 yr | $100,000 | 0% | |
| Corebridge Financial | Corebridge Pathway Choicesm Fixed 4 Annuity GROP | 4.50% | 4 yr | $100,000 | 10% |
5-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 5 (Simple Interest) SI | 6.30%Top Rate | 5 yr | $100,000 | 0% | |
| Ibexis | MYGA Plus 5 (Simple Interest) SI | 5.75% | 5 yr | $100,000 | 10% | |
| Knighthead Life | Staysail 5 With Liquidity (Simple Interest) SI | 5.75% | 5 yr | $100,000 | 10% | |
| Axonic Insurance | Waypoint 5 MYGA | 5.65% | 5 yr | $100,000 | 10% | |
| Fidelity Security Life Insurance Company | TaxVantage® Multi-Year Guaranteed Annuity 5 | 5.65% | 5 yr | $2,500 | 0% | |
| Liberty Bankers Life | Heritage Elite 5 | 5.40% | 5 yr | $10,000 | 0% | |
| Liberty Bankers Life | Heritage Premier 5 | 5.35% | 5 yr | $10,000 | Interest Only | |
| Oxford Life Insurance Company | Multi-Select 5 | 5.20% | 5 yr | $20,000 | 10% |
6-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oxford Life Insurance Company | Multi-Select 6 | 5.55%Top Rate | 6 yr | $20,000 | 10% | |
| Oceanview Life and Annuity | Harbourview 6 | 5.50% | 6 yr | $70,000 | 10% | |
| Clear Spring Life | Preserve MYGA 6 | 5.10% | 6 yr | $100,000 | 10% | |
| Pacific Guardian Life | Diamond Head 6 | 5.00% | 6 yr | $10,000 | 10% | |
| Guardian Insurance & Annuity Co. | Guardian Fixed Target Annuity 6 | 4.80% | 6 yr | $100,000 | 10% | |
| Mass Mutual | Premier Voyage 6 | 4.70% | 6 yr | $1,000,000 | 10% | |
| American General Life Insurance Company | American Pathway VisionMYG 6 | 4.30% | 6 yr | $100,000 | 15% | |
| Corebridge Financial | American Pathway VisionMYG 6 | 4.30% | 6 yr | $100,000 | 15% |
7-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Knighthead Life | Staysail 7 (Simple Interest) SI | 6.50%Top Rate | 7 yr | $100,000 | 0% | |
| Ibexis | MYGA Plus 7 (Simple Interest) SI | 5.95% | 7 yr | $100,000 | 10% | |
| Knighthead Life | Staysail 7 With Liquidity (Simple Interest) SI | 5.95% | 7 yr | $100,000 | 10% | |
| Fidelity Security Life Insurance Company | TaxVantage® Multi-Year Guaranteed Annuity 7 | 5.60% | 7 yr | $2,500 | 0% | |
| Axonic Insurance | Waypoint 7 MYGA | 5.50% | 7 yr | $100,000 | 10% | |
| Liberty Bankers Life | Heritage Elite 7 | 5.45% | 7 yr | $10,000 | 0% | |
| Oxford Life Insurance Company | Multi-Select 7 | 5.45% | 7 yr | $20,000 | 10% | |
| Liberty Bankers Life | Heritage Premier 7 | 5.40% | 7 yr | $10,000 | Interest Only |
8-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oxford Life Insurance Company | Multi-Select 8 | 5.20%Top Rate | 8 yr | $20,000 | 10% | |
| Clear Spring Life | Preserve MYGA 8 | 5.10% | 8 yr | $100,000 | 10% | |
| Pacific Guardian Life | Diamond Head 8 | 5.00% | 8 yr | $10,000 | 10% | |
| Guaranty Income Life | Guaranty Rate Lock 8 | 4.10% | 8 yr | $100,000 | 5% |
9-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Liberty Bankers Life | Heritage Elite 9 | 5.50%Top Rate | 9 yr | $10,000 | 0% | |
| Liberty Bankers Life | Heritage Premier 9 | 5.45% | 9 yr | $10,000 | Interest Only | |
| Liberty Bankers Life | Heritage Premier Plus 9 | 5.35% | 9 yr | $10,000 | Interest Only | |
| Liberty Bankers Life | Heritage Classic 9 | 5.25% | 9 yr | $10,000 | 10% | |
| Securian Financial | SecureOption Choice 9 | 5.20% | 9 yr | $500,000 | 10% | |
| Clear Spring Life | Preserve MYGA 9 | 5.10% | 9 yr | $100,000 | 10% | |
| Oxford Life Insurance Company | Multi-Select 9 | 5.10% | 9 yr | $20,000 | 10% | |
| Pacific Guardian Life | Diamond Head 9 | 5.00% | 9 yr | $10,000 | 10% |
10-Year MYGA Rates
| Carrier | Product | AM Best | Rate | Term | Min Premium | Free Withdrawal |
|---|---|---|---|---|---|---|
| Oceanview Life and Annuity | Harbourview 10 | 5.55%Top Rate | 10 yr | $70,000 | 10% | |
| Axonic Insurance | Waypoint 10 MYGA | 5.50% | 10 yr | $100,000 | 10% | |
| Oxford Life Insurance Company | Multi-Select 10 | 5.15% | 10 yr | $20,000 | 10% | |
| American National Insurance Company | Palladium MYG Annuity 10 | 5.10% | 10 yr | $250,000 | 10% | |
| Clear Spring Life | Preserve MYGA 10 | 5.10% | 10 yr | $100,000 | 10% | |
| Reliance Standard Life | Reliance Guarantee - 10 | 5.10% | 10 yr | $20,000 | 10% | |
| Pacific Guardian Life | Diamond Head 10 | 5.00% | 10 yr | $10,000 | 10% | |
| Lincoln Financial | Lincoln MYGuarantee Plus 10 | 4.95% | 10 yr | $100,000 | 10% |
Rates shown are for informational purposes only and subject to change without notice. Only carriers rated A− or better by AM Best are included. Products marked SI use simple interest — the effective compound yield is lower than the stated rate. Minimum premiums shown are for non-qualified (after-tax) funds. Always verify current rates with a licensed annuity broker before purchasing.
Key Takeaways
- Louisiana’s income tax is now a flat 3% (effective 2025) — one of the lowest flat rates in any state with an income tax
- Louisiana residents age 65+ can exclude up to $6,000 per person of retirement income from state income tax annually
- The Louisiana Life and Health Insurance Guaranty Association protects up to $250,000 in annuity present value per person, per insurer
- Louisiana law requires a minimum 10-day free-look period for annuity contracts
- Louisiana has no state estate tax and no inheritance tax on direct-line heirs
Are Fixed Annuities a Good Investment in Louisiana?
Louisiana’s 2025 tax reform simplified the picture significantly for annuity buyers. The old graduated system (up to 4.25%) is gone — replaced by a flat 3% rate on all taxable income. At 3%, the annual state tax on $10,000 of annuity interest is $300. In a taxable CD, you owe that $300 every year. Inside a MYGA, it defers until withdrawal. Over a 5-year term on a $200,000 contract at 5.00%, the cumulative deferred Louisiana state tax is approximately $1,500 — modest, but real money that stays compounding.
Here is a concrete example: Marie, age 68, lives in Metairie outside New Orleans with $160,000 to protect. She places it into a 5-year MYGA at 5.00%. At maturity, the account grows to approximately $204,163 — a $44,163 gain. She qualifies for Louisiana’s $6,000 retirement income exclusion, reducing her taxable Louisiana annuity income from the first $6,000 of withdrawals to zero. Louisiana taxes the remainder at a flat 3%. Her effective Louisiana tax burden on annuity income is well below the headline rate.
Louisiana Guaranty Association: How Your Annuity Is Protected
The Louisiana Life and Health Insurance Guaranty Association (LLHIGA) protects Louisiana policyholders if a licensed insurer becomes insolvent. Coverage is automatic — no enrollment required.
| Coverage Type | Louisiana Protection Limit |
|---|---|
| Annuity present value | $250,000 per person, per insurer |
| Life insurance death benefit | $300,000 per person, per insurer |
| Life insurance cash value | $100,000 per person, per insurer |
| Multiple policies at same insurer | Combined subject to limits above |
For annuity portfolios over $250,000, split across two or more A-rated carriers to keep each position within coverage limits.
Louisiana Life and Health Insurance Guaranty Association
Website: lalifega.org
How Louisiana Taxes Annuity Income
Louisiana taxes annuity income at a flat 3% (effective 2025). Residents age 65 and older can exclude up to $6,000 per person of retirement income annually. Federal, state, and local government pensions and retirement income are exempt from Louisiana income tax. Most military retirement income is also exempt.
| Income Source | Louisiana Tax Treatment | Rate |
|---|---|---|
| Commercial annuity gains / IRA distributions | Taxable; $6,000 exclusion for age 65+ | 3% flat |
| Government / military pension income | Exempt from Louisiana income tax | 0% |
| Retirement income exclusion (age 65+) | Up to $6,000 per person excluded | 0% on excluded amount |
| 1035 Exchange | No Louisiana tax triggered on the exchange | N/A |
Louisiana has no estate tax and no inheritance tax on transfers to direct-line heirs (spouses, children, grandchildren). Transfers to more distant heirs may be subject to Louisiana inheritance rules — consult an estate planning attorney for complex situations. Annuity beneficiary designations bypass probate.
Louisiana Department of Insurance
The Louisiana Department of Insurance (LDI) licenses and regulates all insurance carriers and agents operating in Louisiana. Verify both the carrier and your agent through LDI before purchasing an annuity.
| Contact | Details |
|---|---|
| Agency | Louisiana Department of Insurance (LDI) |
| Consumer services | 225-342-5900 |
| Toll-free | 1-800-259-5300 |
| Website | ldi.la.gov |
| License verification | Louisiana license lookup |
Tips for Buying an Annuity in Louisiana
- Louisiana’s new 3% flat rate is a major improvement: The 2025 tax reform eliminated the old graduated system. At 3%, Louisiana now has one of the lowest flat income tax rates in the country. The after-tax math on a MYGA is straightforward: your contract rate minus your federal bracket minus 3%.
- Claim the $6,000 retirement exclusion at 65: Louisiana residents age 65 and older can exclude $6,000 per person of qualifying retirement income from state taxes annually. A married couple can shield $12,000 combined each year — a modest but free benefit.
- Government pension holders have it even better: If your primary retirement income source is a government or military pension, Louisiana taxes none of it. Commercial annuities supplement that income at only 3%.
- No estate tax keeps wealth transfer clean: Louisiana has no estate tax on transfers to direct-line heirs. Annuity beneficiary designations bypass probate and pass cleanly.
- Work with an independent broker: New Orleans, Baton Rouge, and Shreveport have active independent broker communities. Independent brokers compare 20+ carriers for your best rate.
- Use the free-look period: Louisiana requires at least 10 days to review and cancel any annuity contract for a full premium refund.
Frequently Asked Questions
Does Louisiana tax annuity income?
Yes, at a flat 3% (effective 2025). Residents age 65+ can exclude up to $6,000 per person of retirement income annually. Government and military pension income is exempt. Louisiana’s 2025 tax reform replaced the old graduated system with one of the lowest flat income tax rates in the country.
What is the best annuity rate in Louisiana today?
The best MYGA rates available to Louisiana residents from A-rated carriers range from approximately 4.50%–5.50% depending on the term as of early 2026. See the live rate table above for current figures updated daily.
How much does the Louisiana Guaranty Association cover?
The Louisiana Life and Health Insurance Guaranty Association protects up to $250,000 in annuity present value per person, per insurance company. For investments over $250,000, spread across multiple A-rated carriers.
What did Louisiana’s 2025 tax reform do to annuity taxation?
Louisiana replaced its old graduated income tax system (which topped at 4.25%) with a simple flat 3% rate effective 2025. For annuity buyers, this means every dollar of taxable annuity income above the $6,000 retirement exclusion (for those 65+) faces the same 3% flat rate — simpler and lower than before.
Does Louisiana have an estate tax?
No. Louisiana has no state estate tax. Louisiana has community property laws and a forced heirship system that can affect estate planning — consult a Louisiana estate planning attorney for complex family situations. Annuity beneficiary designations generally bypass the probate process.
What is the free-look period for annuities in Louisiana?
Louisiana requires a minimum 10-day free-look period. You can return the contract for a full refund of premium within that window.
Who regulates annuities in Louisiana?
The Louisiana Department of Insurance (LDI). Verify licenses at ldi.la.gov or call 1-800-259-5300.