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NAIC Working Group Working OT To Finalize Annuity Sales Rules

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The National Association of Insurance Commissioners creates model laws for states to pass.

An insurance commissioners’ working group opened up a new comment period and scheduled two 90-minute conference calls in a bid to finalize an annuity sales model rule. Comments are being accepted until July 10 on two topics: conflict of interest and the care obligation.

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LIMRA and LOMA are offering a comprehensive training program to help sales professionals and home office employees understand and comply with New York Regulation 187.

“I think there’s a ton of tailwind for this product,” one expert said.

Annuity sales rebounded in a big way throughout 2018, Wink reports. For example, total non-variable deferred annuities sales were $113.6 billion, an increase of 29.1 percent over 2017. Non-variable deferred annuities include the indexed annuity, traditional fixed annuity, and MYGA product lines.

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Hueler Investment Services, Inc., announces the launch of Income Solutions ® for individual investors and advisors. Hueler’ s commitment to improving financial outcomes for retirees has been at the heart of the Company’ s mission since the Income Solutions ® platform was launched in 2004. This new service ensures that all American retirees have the…

TIAA launched a new brand and advertising campaign that takes a different approach to encourage people to think about how they are planning for retirement. “We can all relate to the feeling of running out of things we love and rely on– whether it’ s your favorite TV series or milk for your coffee,” said Mark Elliot, Chief Marketing Officer of TIAA.“ We want to tap into…

Horace Mann Educators Corporation today announced that a subsidiary of Reinsurance Group of America, Incorporated, a leading global life reinsurer, has reinsured a $2.9 billion block of Horace Mann’ s annuity business effective April 1, 2019. In addition, Horace Mann announced that it has entered into a new five-year $225 million revolving line of credit,…
Many families are struggling to make ends meet despite the strong economy.

Many people worry about running out of money in retirement. Getting rid of a car could save you nearly $9,000 a year, which is the average cost of car ownership according to AAA. A study for the National Bureau of Economic Research found that delaying the start of retirement from age 62 to age 66 could raise someone’s annual, sustainable standard of living by 33%.

Vanguard Variable Annuity contracts will still be guaranteed by the Transamerica Premier Life Insurance Company and, in New York State only, by Transamerica Financial Life Insurance Company. Vanguard will continue to manage the Vanguard Variable Insurance Funds, which are the underlying investments in the Vanguard Variable Annuity.

–Nationwide announced today it has added a new fixed indexed annuity, Nationwide Peak ® 5, to offer clients additional ways to maintain principal protection while offering the potential for higher returns and growth. More than seven in ten investors think there is a chance of another stock market crash in the next six months. 1 As a result, $16.1 trillion is…

The Insured Retirement Institute issued the following news release:. The Insured Retirement Institute welcomed Chelsea Crucitti as Director of State Affairs. Crucitti began her career in state government affairs as an intern in the Vermont State Senate before joining KSE FOCUS LLP in Montpelier, Vermont where she focused on tracking and reporting on…

“This transaction gives AmeriLife the financial flexibility to continue building the best independent, national distribution organization serving the rapidly growing pre-retiree and retiree markets,” said Scott R. Perry, CEO of AmeriLife. “In addition to enhancing our financial flexibility, we’re pleased that the transaction attracted a broader group of…

The rule proposed by the New Jersey Bureau of Securities would require all financial advisors registered in the state to act as fiduciaries, making New Jersey one of the first states to propose a uniform fiduciary standard for all financial services professionals.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Overall annuity sales fell 3.6% in the first quarter of 2019, with combined sales of fixed and variable annuities of $57.8 billion as compared to sales of $59.9 billion in the fourth quarter of 2018, according to the Insured Retirement Institute, based on data reported by Beacon Research and Morningstar.

JOHNS CREEK, Ga., June 13, 2019– Ebix, Inc., a leading international supplier of On-Demand software and E-commerce services to the insurance, financial, healthcare and e-learning industries announced that it has continued to expand on its market share in the industry by partnering with Centaurus Financial, Inc. to offer annuity products on its AnnuityNet…

At a time when pensions are dissappearing and many employee retirement account balances are inadequate and incapable of meeting future retirement needs, DIETRICH announces the launch of ANNUA, a defined contribution retirement income annuity practice. ANNUA challenges the status quo of traditional retirement plans by introducing lifetime income…

The Western and Southern Financial Group, a life insurance company, issued the following news release:. W&S Financial Group Distributors, Inc., wholesale distributor of annuities and life insurance from member companies of Western& Southern Financial Group, is addressing retirement risk factors with IncomeSource (R) Select, its fexible premium deferred…
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Commissioner Doug Ommen hopes to retain suitability ideas even as the word is scrubbed from his annuity sales proposal. The driving force is to harmonize state insurance regulations with the new Securities and Exchange Commission’s Regulation Best Interest, Ommen explained.

Morgan Stanley at Work today released an employee financial wellness study conducted by the Financial Health Network on behalf of the organization. The study finds that financial wellness is an opportunity for employers to reduce employee stress, improve retention and engagement and set themselves apart in the marketplace. “Providing financial wellness…
The National Association of Insurance Commissioners creates model laws for states to pass.

The National Association of Insurance Commissioners’ working group is studying a proposal to double the time indexes must be in existence to be used in annuity illustrations from 10 to 20 years. Regulators are concerned that consumers are being misled by unrealistic indexed annuity illustrations.

“We’re proud to have made significant progress with key strategic priorities, as well as improving all aspects of the Envestnet user experience,” said Molly Weiss, Head of Product for Envestnet. Envestnet Exchanges- Significant updates in this release focused on improving Envestnet workflows and deepening integration with the exchanges powered by…

Birmingham, Ala. (June 3, 2019): Protective Life Corporation (Protective), a wholly owned U.S. subsidiary of Dai-ichi Life Holdings, Inc. (TSE:8750),…

–Dynamic Wealth Advisors has partnered with RetireOne ® to offer insurance and annuity back office services for the wealth management firms it supports. This is significant for our wealth managers who develop holistic financial plans incorporating solutions that optimize tax efficiency, and manage longevity risk, sequence of returns risk, and other…
The breakdown of first-quarter deferred annuity sales.

Total first-quarter, non-variable deferred annuity sales were $33.4 billion — up 2.6% when compared to the previous quarter and up 44.8% when compared to the same period last year. Non-variable deferred annuities include the indexed annuity, traditional fixed annuity, and MYGA product lines.

“Jackson is committed to meeting advisors where they are and providing a spectrum of options to meet consumer preferences,” said Scott Romine, President, Advisory Solutions, Jackson National Life Distributors LLC.“ We’ re excited to work with TD Ameritrade to make our fee-based products available to even more independent RIAs. “Annuities can serve as a critical…

–BNY Mellon’s Pershing today announced a series of enhancements to its Subscribe ® annuity platform, which helps advisors streamline how they process, service and maintain annuities. Among the key updates is eSignature capability, which will set a new standard for the industry and change the way advisors purchase annuities. “We are thrilled to be at the…
Life insurance sales are stagnant, but profits are still being made.

The U.S. life/annuity industry’ s net income in the first quarter of 2019 rose sharply over the prior-year period, to $14.9 billion from $3.2 billion, due mainly to a significant decline in total expenses. According to the report, the L/A industry’ s total income for the first three months of 2019 declined slightly by 1.3% from the prior-year period.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Created with Raymond James, the new annuity will be offered through financial institutions, banks and independent broker dealers. It is the only annuity on the market to offer crediting strategies with both upside and downside participation rates, Great American Life said in a news release.

MetLife, a provider of insurance, annuities and employee benefit programs, issued the following news release:. MetLife has appointed two seasoned international leaders to its Employee Benefits business to further enhance its offering to intermediary partners and focused customer segments in the Gulf. Lilia Mokhtari will join MetLife in the Gulf as Head of…

–AmeriLife Group, LLC, a national leader in developing, marketing and distributing annuity, life and health insurance solutions, today announced an expanded partnership with One Resource Group that will enable ORG’s 10,000 agents and advisors to refer their clients with confidence to AmeriLife Direct’s Medicare experts and full-service platform.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

A group annuity risk transfer product, such as a pension buy-out product, allows an employer to transfer all or a portion of its pension liability to an insurer. These product sales surpassed $4.7 billion in the first quarter 2019, an increase of 240% year-over-year.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Overall, U.S. annuity sales were $60.8 billion; an increase of 17% from the first quarter 2018 results. It is the highest first quarter for total annuity sales going back a decade.

–The Impact Partnership expands its product offering for high net worth individuals through the launch of Lincoln Impact Advantage ® Plus. The bonus fixed indexed annuity option developed with Lincoln Financial Group helps savers jump-start their retirement goals through accumulation and income. “Lincoln is excited to continue our relationship with…

The U.S. Attorney for the District of Connecticut, John H. Durham, issued the following news release:. John H. Durham, United States Attorney for the District of Connecticut, announced that ALAN GIACOMI, 46, of Watertown, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 41 months of imprisonment, followed by three years of supervised release, for…
A panel discussion on annuities at the Insured Retirement Institute's Action19 conference.
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“I think there’s a ton of tailwind for this product,” one expert said.

AIG Life& Retirement, a division of American International Group, Inc., today announced a number of enhancements to the Power Series of Index Annuities designed to increase the level of flexibility and choice in these retirement accumulation and income solutions. Moreover, the newly enhanced Power Series of Index Annuities now also provides policyholders…
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

What happens when a fixed income investment — such as a certificate of deposit or a deferred fixed annuity — reaches its maturity date? Fidelity Investments found alarming misunderstanding in a new survey. Only 3% of respondents correctly indicated that a fixed indexed annuity is reinvested for the next 12 months at a lower interest rate.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

The Retirement Enhancement and Savings Act (RESA) and the Setting Every Community Up for Retirement Enhancement Act of 2019, or SECURE Act, are very similar bills that would boost annuity use in retirement plans. The House is expected to vote on the SECURE Act before a Memorial Day recess period.

–RegEd, the leading provider of Compliance Education and Product Training solutions for the financial services industry, has announced a partnership with the Insured Retirement Institute to deliver a course to help meet New York Regulation 187 requirements. “Producers must be equipped to comply with the new requirements of New York Regulation 187, and…

–Midland National Life Insurance Company, a member of Sammons Financial Group and one of America’ s leading insurance companies, today unveiled their MNL Income Planning Annuity, a new 10- year fixed index annuity. “Guaranteed lifetime income can be vital for a stable retirement, and the MNL Income Planning Annuity clarifies what the lifetime payment amount…

_ Brighthouse Financial Inc. on Monday reported a loss of $737 million in its first quarter. On a per-share basis, the Charlotte, North Carolina- based company said it had a loss of $6.31. Brighthouse Financial shares have climbed 40% since the beginning of the year.

The award is believed to be the largest ever paid in upstate New York and also the largest imposed on AXA in arbitration. The elderly victims oversaw the successful Fitzpatrick Poultry Farm in Whitesville, NY, for many years before suffering millions of dollars in damages at the hands of AXA and its financial advisor, Francesco Puccio, formerly of Webster, NY.

–Certified Financial Planner Board of Standards, Inc. announced today public disciplinary actions against the following individuals, effective immediately or on the date noted in each case. Public disciplinary actions taken by CFP Board, in order of increasing severity, include letters of admonition, suspensions and permanent revocations.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Since 2011, accumulation-focused annuity product sales have experienced steady growth, which LIMRA SRI researchers predict will continue over the next five years. As a result of low interest rates, income-focused annuity sales had been declining since 2015 until interest rates increased in 2018.
Annuities are attractive for advisors and clients because they offer income retirees cannot outlive.

Securian Financial has entered the $41.5 billion bank distribution channel for individual annuities with customized products and a new sales team. Securian will offer its complete portfolio of individual annuities to banks, the company said in a news release, and is also developing specific products for the channel.

American International Group, Inc. announced that Avery Dennison Corporation, a global materials science company specializing in the design and manufacture of a wide variety of labeling and functional materials, has signed an agreement transferring approximately $750 million of pension obligations to American General Life Insurance Company, part of…

Prudential Retirement ®, a unit of Prudential Financial, Inc., has concluded about $2.6 billion in previously undisclosed longevity reinsurance contracts, an important signal of an unprecedented start to the 2019 U.K. pension risk transfer market. The funding level of the average U.K. pension scheme stood at 100.1% on March 29, 1 putting many in a favorable…

MADISON, W is.- A 24- year-old Wisconsin man stepped forward Tuesday to claim a $768 million Powerball prize, the nation’s third-largest lottery jackpot, saying he “pretty much felt lucky” the day he bought his tickets and has been worried that people want to steal his ticket. Manuel Franco, of West Allis, said he was sorting through $10 worth of quick-pick tickets…

The simulations have been run and the numbers have been crunched: annuities help improve retirement outcomes compared to investments alone. This is according to new research commissioned by Principal Financial Group ® and conducted by Michael Finke, Ph.D., CFP ®, and Wade Pfau, Ph.D., CFP ®. “Workers show strong interest in guaranteed income 1, but one-third of…

Massachusetts Mutual Life Insurance, a life insurance company, issued the following news release:. As the growth of its pension risk transfer business accelerates, Massachusetts Mutual Life Insurance Company has enhanced its website to serve PRT annuitants, improving navigation, providing more self-service features and information, and offering mobile…

The Great American Insurance Group, a property and casualty insurance company, issued the following news release:. These new products offer indexed strategies linked to well-known indexes and ETFs, including the S&P 500 (R), iShares U.S. Real Estate ETF, and iShares MSCI EAFE ETF, providing upside potential in diverse markets with complete protection against…

If you are planning to retire sometime in the next several years, then you should stress test your plans— living arrangements, retirement portfolio and income and anticipated leisure pursuits— because retirement is like your first days in kindergarten, full of surprises. In our 40 s and 50 s, as the pressures of college tuition, aging parents perhaps approaching…

Saving for future goals is not easy. Hopefully, I can help explain the differences between two commonly used tools: certificates of deposit and Deferred Annuities. CDs are issued by commercial banks or credit unions and are guaranteed by the Federal Deposit Insurance Corp. or National Credit Union Administration.
Should Americans be worrying about debt and taxes?

More than half of Americans say they’ d earn a“ C” or lower when it comes to financial literacy, according to a new survey conducted by Harris Poll on behalf of Prudential Financial, Inc.. “Our industry needs to drive home the importance of financial education, and lead the way in providing it, to help clear a path toward financial wellness,” said Caroline Feeney, head of…

Judge Denise J. Casper ruled that an addendum to the Ohio National selling agreement commits them to arbitration with Commonwealth Equity Services. The broker-dealer is challenging Ohio National’s decision to end trail commissions on a specific variable annuity.