Washington, D.C.—The American Council of Life Insurers (ACLI), National Association of Insurance and Financial Advisors (NAIFA), Finseca, Insured Retirement Institute (IRI) and National Association for Fixed Annuities (NAFA) issued the following statement on legislation passed by the U.S. House Appropriations Committee and the Education and the Workforce Committee to protect retirement savers from the Labor Department’s fiduciary-only regulation:
“The actions taken by the U.S. House Appropriations Committee and the Education and the Workforce Committee send a clear message that the Labor Department’s fiduciary-only regulation does not align with Congress’s efforts to expand retirement security for all Americans through the increased availability of lifetime income options.
“In 2019 and 2022, Congress reaffirmed the importance of lifetime income when it passed legislation making it easier for employers to include annuities in workplace retirement plans. The fiduciary-only regulation is at odds with this progress. It restricts consumer access to professional financial guidance and options for protected lifetime income that annuities offer.
“These products and services are needed now more than ever, with 30.4 million Americans turning age 65 between 2024 and 2030. Most of these individuals will not have a defined benefit pension that provides a regular monthly income in retirement.
“The Appropriations Committee bill would deny the Department of Labor funding to administer, implement or enforce its ill-advised fiduciary-only regulation. The House Education and the Workforce Committee measure would prevent the regulation from taking effect.
“We applaud both committees for their actions on behalf of America’s retirement savers.”