Advanced life insurance sales professionals must “get comfortable” with regulation by the National Association of Securities Dealers, according to the former president of John Hancock Life Insurance Company.
“I don’t think the NASD understands the insurance business, and I am sure we don’t necessarily understand the NASD,” James Benson, who is now head of a Southborough, Mass., financial planning firm, said here at the annual meeting of the Association for Advanced Life Underwriting, Washington.
“I am not sure we are going to be able to convince them to change all the rules, to take into account the complex nature of insurance transactions,” Benson added. “But we have to live within the rules.”
When an advanced life insurance sales professional talks about variable universal life, “we like to think of an insurance policy with some separate accounts,” Benson said.