Iowa Annuity Guaranty Fund Coverage (2026)
Written & reviewed by Hans Goldstein, Independent Licensed Insurance Producer · CA license 4273294 · NPN 20602398Independently reviewed & last updated 2026-11-06
Quick answer: if you live in Iowa, the state life and health insurance guaranty association covers up to $250,000 in present value of a deferred annuity (MYGA or fixed annuity) per person, per insolvent insurer. Above that, you are partly covered and the excess is a claim against the failed insurer's estate.
| Iowa guaranty coverage | Amount |
|---|---|
| Deferred annuity limit (present value) | $250,000 |
| Per-life cap, all policies with one failed insurer | Not stated in sources checked |
| Bank CD / savings (FDIC, for comparison) | $250,000 per depositor, per bank, per ownership category |
Source: NOLHGA state coverage levels (information as of June 1, 2025), checked against state association sites and statutes on October 3, 2026, as compiled on my 50-state annuity guaranty table. Re-verify at nolhga.com or with the Iowa association before you rely on a number.
What the Iowa limit means for a MYGA
- Per person, per insolvent insurer. The limit resets for each insurance company, not each contract.
- Present value, not deposit. It counts the interest already credited. A deposit that has grown past $250,000 is over the limit.
- Per-life cap: not stated in the sources I checked. Ask the association.
- Your state of residence decides. Not the state where the insurer is based.
Worked example: $400,000 in Iowa
A single $400,000 MYGA at one insurer is covered up to $250,000, which is 62.5% of the contract; the rest would be a claim against the failed insurer's estate, not guaranteed. Splitting it into 2 contracts of $200,000 at 2 different insurers keeps each one inside the limit.
What this does not do
A guaranty association is a backstop after an insurer fails. It is not insurance you buy, it is not FDIC, and it is not a substitute for checking the insurer's financial strength and the contract's surrender schedule first. Not every MYGA is filed for sale in every state, so confirm a product is available to Iowa residents before comparing rates.
Next steps
- MYGA by state: guaranty limits for all 50 states and DC
- Are annuities FDIC insured? 50-state guaranty table and coverage checker
- Best 5-year MYGA rates (2026)
- Current MYGA rates
Is the annuity you're looking at actually the best one available?
Send your email and I'll send what it really guarantees, what the surrender schedule costs you, and the two or three carriers paying more for the same guarantee. If it's already a good fit, I'll tell you that.
Email only. Hans reads every one himself and replies within one business day. Hans Goldstein · NPN 20602398.
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This page is education, not a quote or a recommendation. Guaranty association coverage is a last-resort backstop, not a reason to choose an insurer, and many states restrict using it in sales. Limits change when legislatures amend their guaranty acts; confirm with your own state association before relying on any number. I am licensed in California; this is general information for residents of every state, not state-specific legal or tax advice.