American Council of Life Insurers (ACLI) President and CEO Susan Neely and National Association of Insurance and Financial Advisors (NAIFA) Idaho President Guy Stubbs issued the following joint statement on the best interest annuity law signed recently by Idaho Governor Brad Little:
"Legislation signed by Gov. Brad Little and championed by Insurance Department Director Dean Cameron enhances protections for consumers in the Gem State seeking lifetime income through annuities. The strict requirements it imposes on financial professionals ensures that they will act in the best interest of the consumers they serve.
"Today's action continues the momentum for enhanced consumer protections nationwide. Idaho is the eighth state to adopt a measure that closely tracks the 'best interest of consumer enhancements' in the National Association of Insurance Commissioners (NAIC) Suitability in Annuity Transactions Model Regulation. The new laws and regulations also align with the SEC's Regulation Best Interest to bolster state and federal protections for low and moderate balance savers without limiting access to information they need for a secure retirement.
"Consumers in Idaho and across the country are anxious about running out of money in retirement. Legislation enacted by Congress in 2019 helped address this concern by making it easier for employers to include lifetime income options through annuities in workplace retirement plans. New laws like Idaho's complement this legislation and give retirement savers the tools they need to secure peace of mind no matter how long they live.
"We hope other states take similar action on behalf of retirement savers."