The National Association of Insurance Commissioners today announced plans to hold a public hearing on the emergence of stranger-originated and stranger-owned annuities.
“The hearing will focus on the suspect practice of targeting seniors and terminally ill patients by inducing them to purchase an annuity largely for the benefit of investors or intermediaries,” the NAIC said in its announcement of the hearings.
“We are determined to address how individuals are being affected by these new transactions and whether new or modified current laws or regulations are necessary to protect consumers,” said Thomas R. Sullivan, chair of the NAIC life insurance and annuities committee and Connecticut insurance commissioner. “We have an intense curiosity for which we intend to examine the existence and extent of these practices.”
The date and location of the hearing has not yet been determined.