American Council of Life Insurers (ACLI) President and CEO Susan Neely and National Association of Insurance and Financial Advisors NAIFA-Oregon President Kym Housley issued the following joint statement on legislation signed into law in Oregon that strengthens safeguards for annuity consumers:
“The legislation sponsored by Senator Janeen Sollman and signed by Governor Kotek will greatly benefit Oregon retirement savers. It enhances the standards financial professionals must follow and protects consumers’ access to, and information about, annuities, the only financial product in the marketplace that can provide guaranteed income for life.
“Oregon joins 37 other states that have adopted the ‘best interest of consumer enhancements’ in the National Association of Insurance Commissioners (NAIC) Suitability in Annuity Transactions Model Regulation. These state measures also align with the SEC’s Regulation Best Interest, offering consumers strong protections at the state and federal level.
“Unlike a fiduciary-only approach, the NAIC and SEC best interest standards ensure that all savers, particularly financially vulnerable middle-income Americans, can access information about different choices for long-term security in retirement. In a recent survey, retirement savers overwhelmingly said they want the option to work with any type of financial professional who is offering products and services that meet their needs.
“The U.S. Congress reaffirmed the importance of lifetime income when it passed legislation in 2019 and in 2022 that made it easier for employers to include annuities in workplace retirement plans. Thanks to the enhanced state and federal protections, savers in more than three-fourths of the United States can be assured that financial professionals are acting in the consumer’s best interest when offering recommendations about annuities.
“We hope that every state adopts these sensible protections so that all consumers benefit from a best interest standard of care no matter where they live.”
About ACLI: The American Council of Life Insurers (ACLI) is the leading trade association driving public policy and advocacy on behalf of the life insurance industry. 90 million American families rely on the life insurance industry for financial protection and retirement security. ACLI’s member companies are dedicated to protecting consumers’ financial wellbeing through life insurance, annuities, retirement plans, long-term care insurance, disability income insurance, reinsurance, and dental, vision and other supplemental benefits. ACLI’s 280 member companies represent 94 percent of industry assets in the United States.
About NAIFA: Founded in 1890, NAIFA is the oldest, largest and most prestigious association representing the interests of financial services professionals from every Congressional district in the United States. Our mission – to advocate for a positive legislative and regulatory environment, enhance business and professional skills, and promote the ethical conduct of its members – is the reason NAIFA has consistently and resoundingly stood up for financial services professionals and called upon members to grow their knowledge while following the highest ethical standards in the industry.