"This proposal is another important step in the Commission's efforts to provide
The proposal would newly permit these contracts to use a summary prospectus to provide disclosures to investors. This document would be a concise, reader friendly summary of key facts about the contract. More detailed information about the contract would be available online, and an investor also could choose to have that information delivered in paper or electronic format at no charge.
Mutual funds have been permitted to use a similar layered approach to disclosure--with investors receiving a summary prospectus, and more-detailed information available on request--since 2009.
The Commission has requested public comment on the proposed rule changes, as well as on hypothetical summary prospectus samples that it has published. The Commission has also published a Feedback Flier that it will use to seek investor input about what improvements would make the summary prospectus easier to read and understand, and what information investors would like to see included.
The public comment period will remain open through