Advocacy in action blog

On Sunday, March 29th, President Donald Trump extended his coronavirus guidelines for America, announcing 30 Days to Slow the Spread, effectively extending the minimum time for most Americans to remain at home until April 30th.

Some reinsurers and primary insurance companies have announced that they will temporarily stop accepting applications for some life insurance policies. The COVID-19 outbreak has injected a new level of uncertainty into the marketplace and made it difficult for insurers to complete underwriting tasks, such as medical exams. Low interest rates are also having an impact on carriers’ business models.

Measures on small business loans, payroll taxes, and retirement accounts to provide relief to financial professionals and their clients.

Congress has passed the CARES Act, a $2 trillion economic stimulus and relief package designed to bolster Americans and the U.S. economy currently racked by the COVID-19 outbreak. The bill now goes to the White House, where President Trump is expected to sign it.

“NAIFA has advocated for measures to help small business owners and American workers weather the devastating financial impact of the COVID-19 pandemic, and we are pleased to see many of the provisions we promoted included in the CARES Act,” said NAIFA CEO Kevin Mayeux. “Small business loans to cover short-term payroll and other expenses, which could be forgiven at a future date; payroll tax exemptions; and relief from retirement-account withdrawal requirements and early withdrawal penalties have been at the top of NAIFA’s advocacy agenda and will be crucial to many NAIFA members and their Main Street USA clients. We are very pleased to see these provisions included in the final bill.”

On March 26, NAIFA joined industry partners in a letter to Congressional leadership urging support for the inclusion of the Securing and Enabling Commerce Using Remote and Electronic Notarization Act (SECURE Notarization Act), in the legislative package from Congress intended to address the economic fallout from COVID-19. The bipartisan legislation (S. 5355, H.R. 6364) was introduced by Sens. Cramer (R-ND) and Warner (D-VA), and Reps. Reschenthaler (R-PA) and Dean (D-PA).

In light of the disruptions to normal business operations brought about by efforts to curtail the spread of the Coronavirus, the U.S. Securities and Exchange Commission (SEC) is considering a possible delay in the June 30, 2020 implementation/effective date for compliance with the Commission’s new Regulation Best Interest, which establishes a heightened “best interest” standard of care for broker-dealers and their registered representatives. (In a related matter, the SEC has changed the deadline for BD firms to file their Forms ADV from March 30, 2020 to June 30, 2020.) Although no final decision has been made, the topic has been discussed by SEC leadership. NAIFA has submitted a letter to the SEC requesting a reasonable delay in the Reg BI implementation/effective date, which you can review here.

On March 24, the U.S. Department of Labor’s Wage and Hour Division (WHD) announced its first round of published guidance to provide information to employees and employers about how each will be able to take advantage of the protections and relief offered by the Families First Coronavirus Response Act (FFCRA) when it takes effect on April 1, 2020.

On the ten-year anniversary of the Patient Protection and Affordable Care Act (ACA) being signed into law, NAIFA looks back at the milestones of health care policy and how the ACA has changed over the last decade. Implementation of the ACA and the tenants included in this monumental health care program have proven to be fluid throughout the existence of the program.

The National Association of Insurance and Financial Advisors (NAIFA) has a long history of working with lawmakers on the state and federal levels. Recent outreach to Congressional offices, state insurance commissioners, and state legislators offering assistance to lawmakers with constituents’ financial concerns has resulted in sincere appreciation.

The COVID-19 outbreak is disrupting the lives of families and the operations of businesses across the country. The impact on the economy and financial implications for Americans will certainly be substantial. At times like this, NAIFA’s advocacy influence and role as the voice of insurance and financial professionals is more important than ever. We are working on behalf of our members, the entire agent-advisor community, and Main Street USA consumers to help Congress find ways to lessen the impact of the outbreak.

While the volatile stock market remains a concern, there is a recognition that the most acute impact of COVID-19 is being felt on Main Streets around the country. NAIFA continues our work with lawmakers on crisis-related proposals to ensure the interests of NAIFA members and their Main Street clients are considered. Lawmakers are moving quickly on policies to address the coronavirus pandemic. Congress has enacted two legislative packages, and a third legislative response is underway (also see State Capitols Respond to COVID-19).