Iowa insurance regulators are watching closely as the Insurance Marketplace Standards Association develops standards for the sale of index annuity products.
Iowa regulators would like to see IMSA, Bethesda, Md., set up a “let us know” early warning system as IMSA develops standards for index annuity products, according to Jim Mumford, first deputy commissioner with the Iowa Insurance Division.
IMSA, a standard-setting and certification group, says it can help the Iowa division as the division follows up on plans to scrutinize fixed index annuities, also known as equity indexed annuities.
During the spring meeting of the National Association of Insurance Commissioners, Kansas City, Mo., Iowa announced an initiative to oversee the product. The announcement followed a public hearing held by Iowa and Minnesota insurance regulators.
Notification should be “immediate” if IMSA is conducting a certification examination and something is uncovered, Mumford says.