What I think is missing in this entire debate is that just because an individual is licensed to sell securities doesn’t mean that they are automatically ethical and will not abuse seniors the exact same way that it seems some of the insurance agents do. The bottom line to this issue is policing the industry. If the product is suitable for the client and it is sold the correct way with the correct due diligence, it doesn’t matter if you have a securities license or not. Just because someone has a securities license, as we have seen, does not make them automatically ethical.
– Dennis Stewart
I agree strongly with Jim Mumford of the Iowa Insurance Division, who said he believes that 151A is completely inappropriate. I certainly agree with that and would add — LUDICROUS! I am a licensed insurance agent who believes Joe Borg of the Alabama Insurance Commission and others working on the still-evolving SEC Rule 151A are wasting a lot of time trying to fix what isn’t broken. Something like Wisconsin’s own Annuities Suitability Committee monitorship makes a lot more sense to me. The SEC’s proposal is not in the best interest of producers.
– Bob Armour