Hawkeye State regulators say insurers should feel free to try using the electronic "straight through processing" standards that NAVA Inc. has developed in an effort to streamline the processing of new annuity business.
NAVA, Reston, Va., recently began working with the Iowa Insurance Division to put the STP standards into actual use.
Iowa laws let regulated entities use electronic signatures, electronic recordkeeping systems and the other systems that appear to be necessary to use the STP standards, Susan Voss, the Iowa insurance commissioner, writes in a bulletin about the STP standards.
"The Iowa Insurance Division finds that the NAVA STP standards and processes, as explained and demonstrated by NAVA and Iowa domestic insurance company representatives, comply with the electronic signature, record retention and delivery requirements discussed above as well as the annuity disclosures required by [the] Iowa Administrative Code and the requirements regarding replacement of life insurance and annuities found in [the code]," Voss writes.
"In case of conflict, however, between Iowa law and the NAVA STP standards and processes, Iowa law will govern," Voss writes.
"Companies following the NAVA STP standards and processes are responsible for assuring that their use of NAVA STP standards and processes comply with Iowa law," Voss writes.
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