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Committee of Annuity Insurers Comment Letter to IRS on Proposed Qualifying Longevity Annuity Contract Regs (PDF)

"First, [the Committee suggests] certain modifications to the regulations that would increase flexibility in QLAC designs.... Second, [the Committee offers] suggestions for modifying the limits that the proposed regulations place on QLAC premiums.... Third, [the Committee asks] for several technical clarifications to the regulations in anticipation of questions that may arise in the future as taxpayers and the government implement the final rules. Finally, [the Committee asks] that the [IRS] coordinate with [DOL] on certain reporting and recordkeeping issues."

The Committee of Annuity Insurers Comment Letter to SEC on Proposed Money Market Reforms (PDF)

"Proposals should be limited so that they do not negatively affect variable insurance contracts. This can be done, for most but not all variable contracts, by exempting those money market funds that only sell their shares to insurance company separate accounts from both Alternatives."

Committee of Annuity Insurers Comment Letter to SEC on Duties of Brokers, Dealers and Investment Advisers (PDF)

"[We] urge that any new disclosure obligations embrace electronic delivery. We also strongly oppose any effort to abolish FINRA's long-standing framework that applies to non-cash compensation paid with respect to sales of variable insurance and other securities products."

Report on Life and Annuity Living Benefit Riders: Considerations for Insurers and Reinsurers (PDF)

74 pages. "The Society of Actuaries (SOA) Product Development Section and Reinsurance Section, along with the Committee on Life Insurance Research, have sponsored this research paper to investigate life and annuity living benefit riders and their implications from both a direct writer and a reinsurer perspective.... The scope of the research includes the following products: [1] Accelerated Death Benefits (ADB) for Chronic Illness; [2] ADB for Terminal Illness; [3] ADB for Critical Illness [4] Life/Long Term Care Insurance (LTCI) Accelerated Benefits; [5] Life/LTCI Linked-Benefit Plans; [6] Annuity/LTCI Linked-Benefit Plans; and [7] Annuity Enhanced Payout Benefits triggered by a qualifying health condition."

NAIC Committee Passes Best Interest Annuity Rules

"The National Association of Insurance Commissioners moved one step closer today to sending a best-interest annuity model law to the states for adoption in 2020.... The model articulates a best-interest standard through the following four obligations: care, disclosure, conflict of interest and documentation."

Draft Guidelines Could Shape States' Efforts to Regulate Annuity Sellers

"The Life Insurance and Annuities Committee, an arm of the [NAIC], plans to consider adoption of an Annuity Best Interest Regulatory Guidance and Considerations document [on December 9] ... Some state regulators want the guidance to help states ensure that annuity sellers treat clients well. Groups for annuity issuers and sellers want the guidance to reduce the odds that annuity sellers will have to cope with state and federal regulation at the same time."

Testimony of Insured Retirement Institute for Senate Finance Committee Hearing: Helping Americans Prepare for Retirement (PDF)

"Our agenda identifies policy solutions to expand access to workplace retirement plans that help Americans save and prepare for retirement; to increase access to lifetime income options that help Americans ensure their savings will not be outlived; and to improve access to education and information that American savers need to make better and more-informed decisions regarding their finances.... [W]hile the removal of annuities' tax-deferred status would not necessarily generate additional tax revenue over the long term, it would have a negative effect on Americans' ability to save for retirement."

Annuity Payouts from DC Plans: The Debate Continues

"Committees often worry about the process for selecting and monitoring insurers. Do we have the expertise to do it ourselves, or should we hire a consultant? What's the nature of our liability? These questions dissuade many committees from moving ahead, especially since expected demand from participants is typically low.... For now, most employers' answer to the question 'annuity -- or not?' is simple: 'not in the plan, but in an IRA rollover.' And plan sponsors continue to work on other ways to make their plans more hospitable to retirees to create an attractive retirement destination for participants."

The Pension Committee Comments on H.R. 2748, the Retirement Security Needs Lifetime Pay Act of 2009 (PDF)

3 pages. Excerpt: The tax incentive for annuities in H.R. 2748 currently excludes qualified defined benefit (DB) plans. We strongly urge you to treat qualified defined benefit plans no less favorably than other sources of retirement income. With so many people reaching retirement age but having to postpone retirement due to declining account balances, our public policies should encourage the expansion of the defined benefit system, rather than create another reason for employers to end their defined benefit plans in favor of defined contribution plans. As lump sums are currently available in many DB plans, an incentive to select the annuity option in all defined benefit plans is good public policy ? whether it encourages expansion of defined benefit plans, discourages further cutbacks in DB benefits, or gives participants more of a reason to elect the annuity option over the lump sum option. We believe this incentive should be available to all annuities provided from defined benefit plans, whether or not they are backed by the PBGC or an annuity contractfrom a private insurance company.

Multiemployer Pension Reform Efforts Continue After Demise of Congressional Joint Select Committee, Part 2

"Eligible plans could apply for a loan in an amount needed to fund the plan's obligations for the benefits of participants and beneficiaries in pay status at the time the loan is made. Plans that receive a loan would then be required to fund the plan's obligations to those in pay status in one of the following ways: [1] purchasing annuity contracts from an insurance company ... [2] investing the loan proceeds in a cash or fixed income (bond) portfolio designed to match the specific benefit liabilities ... [3] invest in some other portfolio prescribed by the Secretary of the Treasury in regulations."