Is Phoenix Group or Legal & General the Better Investment for Passive Income?

When it comes to generating passive income, investors often turn to leading companies like Legal & General (LSE:LGEN) and Phoenix Group (LSE:PHNX). These two insurers are known for their strong dividends on the FTSE 100, with Legal & General offering 8.12% and Phoenix Group offering 10.62%. The solid cash flows in the sector further support these impressive dividends. Analysts find it challenging to determine which of the two companies is a better investment option. Legal & General recently reported an operating profit slightly below expectations for 2023. Despite this, new CEO Antonio Simoes' plans to streamline the company have sparked interest among investors. The potential sale of its Cala Homes unit could bring in 1 billion, further strengthening Legal & General's financial position. The company's full-year dividend per share increased to 20.34p, and its Solvency II capital coverage ratio remains strong at 224%. Economic conditions and interest rates continue to impact Legal & General, but signs of improvement suggest a positive outlook for the company's future.