House members have introduced H.R. 2733, a bill that could reverse efforts by the U.S. Securities and Exchange Commission to claim jurisdiction over indexed annuities.
The bill would exempt indexed annuities and indexed insurance policies from regulation by the SEC.
The National Association for Fixed Annuities, Milwaukee, has been awaiting introduction of the bill for weeks, and it announced the arrival of the bill today in a member alert.
Reps. Greg Meeks, D-N.Y., and Tom Price, R-Ga., are the lead sponsors of the bill. They have lined up 20 cosponsors, according to the Library of Congress legislative tracking system.
The bill has been referred to the House Financial Services Committee.
SEC officials and others have argued for years that indexed annuities should be regulated as securities because, from the perspective of consumers, they behave like other products that are regulated by the SEC.
Critics of the SEC counter that indexed annuity issuers offer generous guarantees; back the annuities with their own general account assets; and have sold products that have outperformed SEC-regulated securities in recent months.