House panel advances CLEAR Forms Act backed by IRI

The House Financial Services Committee voted 42-7 Wednesday to advance legislation that supporters say would make disclosures for certain annuity and life insurance products easier for consumers to understand.

The Consumer-Led Enhancement of Annuity and Insurance Registration, or CLEAR, Forms Act, is a legislative priority for the Insured Retirement Institute and was included in the organization's 2026 Federal Retirement Security Blueprint.

"Today the House Financial Services Committee took an important step forward by passing the CLEAR Forms Act," said Paul Richman, IRI's chief government and political affairs officer.

The legislation would require the Securities and Exchange Commission to create registration forms specifically designed for certain insurance products that are regulated as securities.

Supporters say current SEC requirements often force insurers to use registration forms originally developed for corporate stock and bond offerings rather than insurance products.

According to a joint letter submitted by IRI and the American Council of Life Insurers, that can result in consumers receiving lengthy disclosures containing extensive information about an insurer's operations while information about the product itself may be more difficult to identify.

The groups argue that disclosures should place greater emphasis on information consumers use when evaluating retirement products, including benefits, risks, costs and contract limitations.

The bill would apply to products including registered index-linked life insurance, contingent deferred annuities and other registered non-variable insurance contracts.

A contingent deferred annuity provides a guaranteed lifetime income benefit if assets in a designated investment portfolio are exhausted. Registered index-linked life insurance combines life insurance protection with returns tied to a market index while limiting downside exposure.

The measure represents the latest effort by the insurance industry to move certain products away from disclosure frameworks originally developed for traditional securities offerings.

Supporters frequently point to Congress' bipartisan Registration for Index-Linked Annuities Act of 2022 as a model. That law directed the SEC to develop registration forms tailored specifically to RILAs.

Industry groups have argued that other insurance products regulated by the SEC should receive similar treatment because their features differ significantly from those of publicly traded stocks and bonds.

IRI and ACLI also told lawmakers that the current system imposes substantial compliance costs on insurers seeking to develop and launch new products.

The organizations said those costs can create barriers to market entry and ultimately limit consumer choice.

Under the legislation, the SEC would be required to propose new registration forms within 12 months and finalize them within 30 months. The bill also calls for consumer testing and plain-language disclosure standards.

The legislation was introduced by Rep. Zach Nunn, R-Iowa, and Rep. Brittany Pettersen, D-Colo.

© Entire contents copyright 2026 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com