Fitch notes the latest product offering aimed at the longevity risk protection market, the contingent annuity (CA), is generating controversy. "From a ratings perspective," the agency notes, "we are concerned with the ultimate risk profile of any CA products, pricing adequacy, questions of transparency, and how the product will be reserved for considering the level of capital required under regulatory capital ratios." To date, U.S. life insurers have been actively selling variable annuities and other lifetime income annuities that protect against the risk of outliving one's assets. The CA product structures that have been proposed would offer similar lifetime income benefit guarantees but would not require the policyholder to transfer the assets to the insurance company. "Over the near term," Fitch concludes, "we will be actively monitoring further developments related to the CA market."
Your resource for news, research and analysis to help you deliver more effective outcomes to your clients.
ThinkAdvisor's TechCenter is an educational resource designed to give you a competitive edge by keeping you abreast of new tech innovations and need-to-know information that can be applied to your business.
Tap into the federal employee retirement market with help from the first two chapters of this eBook!
Understand the challenges your clients and their employees are facing and help them stay competitive by providing the best benefits tailored to specific employee needs.
Download this cheat sheet to learn what you need to know and do prior to June 9th, 2017, that will ensure your practice is fully...
Jul 19, 2017
The first compliance deadline for the DOL’s fiduciary rule has kicked in … are you in compliance?
Jun 29, 2017
Join this complimentary webcast to dive into the imperative demand benefits professionals, employers, and HR representatives must meet when it comes to customizing benefits packages,...
Jun 28, 2017
Clients want to discuss health care costs in retirement. We can help break down options and costs so your clients can better prepare.