Acquainting 14 new commissioners with a wide array of issues will be a priority for the American Council of Life Insurers at the spring meeting of the National Association of Insurance Commissioners this week, says an ACLI spokesman.
The ACLI will also be getting acquainted with the views of regulators on a new version of a suitability document, says Bruce Ferguson, senior vice president, state relations. A draft of the Annuity Transaction model act and regulation was released on Feb. 21 and is slated for a fast-track adoption during the June summer meeting.
After an initial examination, Ferguson says that the narrower focus of the suitability issue on the 65+ marketplace is a good thing. However, he says, a discussion needs to be held on whether uniform guidelines can be applied to an issue that is “very subjective by nature.”
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ACLI has not formulated a position, Ferguson continues. However, questions such as “What problem are they trying to solve” and what regulatory tools are currently available, need to be discussed, he adds.
Given the fact that the draft was just released without industry input, a June adoption would be “probably unrealistic,” Ferguson says.