The supposedly new annuity type, as opposed to an immediate fixed annuity , would lock in a higher income in the event of a strong stock market.
B-Ds and other annuity distributors are asking insurers for product specifications with an eye toward compliance with the new regulation.
Selection process will be like a suitability standard on steroids, requiring an analysis like those done by a financial planner.
Legislation also would require defined-contribution plans to make lifetime income disclosures, and allow small employers to combine plans.
Low interest rates and demographic trends continue to bolster indexed annuity sales. These dynamics also pushed deferred income annuities to their best all-time sales quarter.
The funds are more flexible than annuities , but can't guarantee a set payment for life.
Phoenix Launches New Brand as a Nassau Re Company
The firm is developing its first fee-based variable annuity , which many experts say is the future of the product line in the qualified market.
Allianz Life Hires Robin Holicky as Assistant Vice President, Life Underwriting
The Labor Department, however, offered a rebuke to the recommendations, saying they would erode consumer protections.