Articles – Fixed Annuity Consumer Choice

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FACC Comment to Kansas Proposed Best Interest Rule

FACC believes the NAIC Model Regulation provides strong consumer protection while at the same time preserving consumer choice through well-balanced thoughtful regulatory requirements consistent with different delivery systems in the marketplace. We have long held that it is important for states to adopt the model requirements uniformly without deviation so as to leverage the expertise of the NAIC and so that companies and agencies operating across state boundaries can comply efficiently and utilize uniform practices that most effectively serve consumer interests.

Kim O'Brien June 1, 2023 No Comments

FACC Files Notice of Supplemental Authority on ASA Case Decision

The ASA Order nullifies one of the challenged FAQs on the ground that the policy referenced therein was not a reasonable interpretation of the text of ERISA or the five-part test. Specifically, the court rejected a key element of the DOL’s New Interpretation, which provides that the regular basis requirement for determining fiduciary status will be satisfied in the case of an Investment Professional’s advice to an ERISA plan member with respect to a rollover transaction based on the provision or anticipated provision of post-rollover advice to the IRA owner.

Kim O'Brien June 1, 2023 No Comments

American Securities Association Ruling

The Court DECLARES UNLAWFUL and VACATES the policy referenced in FAQ 7, remanding it to the Department of Labor for further proceedings consistent with this Order.

Kim O'Brien June 1, 2023 No Comments

Transcript of Oral Arguments

This is a statutory construction case. And as such, we believe there’s a basic principle that can and should guide the Court’s decision in matters of statutory construction as it does in matters — many matters under the law. And that — that principle is: Words have meaning. In this particular case, we have the luxury, not often afforded to litigants, that the Fifth Circuit has given us very clear direction as to the meaning of the statute in question arising out of the last time the Department of Labor sought to redefine who’s a “fiduciary” under ERISA.

Kim O'Brien June 1, 2023 No Comments

Member Alert – California Best Interest Legislation SB 263

TO: FACC Members and Supporters We want to make you aware of draft legislation soon to be introduced in California that is highly troublesome. This is legislation advocated by the California Insurance Commissioner which is contrary to the NAIC Model and would be harmful to consumer choice. FACC is concerned…

Kim O'Brien March 5, 2023 No Comments

South Dakota Letter to Governor Noem Requesting Veto of HB 1091

From the standpoint of good governance and promoting sound regulation that is business friendly, consumer protective, and consistent with a competitive marketplace, we believe South Dakota would be best served to not deviate from the NAIC model requirements. We hope you – as Governor – will appreciate and agree that it is a strong statement in favor of state insurance regulation that so many states have already banded together to adopt best interest standards befitting the insurance industry and thereby have helped preserve state regulation against federal encroachment.

Kim O'Brien February 21, 2023 No Comments

Oklahoma Comment Letter Requesting Specific Reference to NAIC Disclosure Language

We urge that Subchapter 17 be modified to specify the content of required disclosure forms rather than stating “on a form prescribed by the Commissioner.” These statements appear in the “Disclosure obligation” and “Documentation obligation” provisions in subsection 365:25-17-7 (a) concerning Best Interest Obligations. This modification could be done either by incorporating the full forms into the regulation as provided for in the NAIC Model Regulation or making specific reference to the NAIC Model Regulation exhibit forms.

Kim O'Brien January 6, 2023 No Comments

Wyoming Comment Letter Requesting Specific Reference to NAIC Disclosure Language

We urge Wyoming to specify the content of Disclosures A, B, and C as done in the Model Regulation. This could be done either by incorporating the full forms into the regulation or making specific reference to the NAIC model regulation exhibit forms. The NAIC model regulation identifies these exhibit forms as Appendices A, B, and C.

Kim O'Brien December 22, 2022 No Comments

Georgia Comment Letter Opposing Mere Reference to Best Interest

FACC must strongly oppose the proposal to amend Georgia’s suitability regulation as currently drafted. The current proposal attempts to create a “best interest” standard in a single sentence which FACC believes would be a serious mistake and would prove counterproductive as compared to adopting the newly revised NAIC Model Regulation in its entirety.

Kim O'Brien December 12, 2022 No Comments

Comment Letter Commending Full Incorporation of NAIC Model

Georgia Insurance Department is to be commended for its interest in modernizing your existing regulation and the following path of 29 other states who have adopted the regulation.

Kim O'Brien November 28, 2022 No Comments