Many financial advisors faced with a high level of client anxiety about outliving their savings are nonetheless staying away from lifetime income solutions, according to a new report from two insurance industry firms.

Eighty-two percent of registered investment advisors agree that clients are worried they’ll run out of their retirement savings, and 64% say clients are concerned about retiring on time. That's according to results of a survey of 200 financial professionals published by RetireOne, a platform for fee-based insurance products, and Midland Life Insurance Co.

Advisors, however, are confident: 92% “believe they have the tools to keep them [clients] happy,” the companies state.

But RetireOne and Midland National say that many advisors are eschewing products and tools that could properly protect their clients’ savings in the face of inflation and a potential recession.

Only one in four advisors, for example, incorporate income-planning software, according to the survey. In addition, to protect the principal, 41% of respondents rely on certificates of deposit, 60% on money market accounts and 49% on cash, RetireOne and Midland National report.

They warn those tools are insufficient in current markets.

“Despite inflation climbing toward 9 percent and the creator of the four percent rule calling for a revision to the commonly-referred-to rule of thumb, RIAs still rank unprotected methods for generating retirement income ahead of lifetime income solutions,” the companies write in the announcement.

Bill Bengen, a retired financial planner, first came up with the 4% rule in 1994. The rule holds that retirees should spend 4% of savings in their first year after leaving the workforce and adjust that amount for inflation.

That formula would have kept retirees from draining their savings fully for every 30-year period between 1926 and 2022, the Wall Street Journal noted in an April 19 article outlining Bengen's philosophy.

“The problem is that there’s no precedent for today’s conditions,” Bengen told the Journal at the time.

But he didn't suggest using annuities to adapt. Bengen's advice? Cut spending, reduce stock and bond exposure, reassess allocations — and increase holdings in cash.