News Release

Governor Dirk Kempthorne, ACLI’s President and CEO, issued the following statement in response to the many letters to the U.S. Department of Labor from Members of Congress on the proposed fiduciary regulation:

 

Washington, D.C. (September 25, 2015) — “The American Council of Life Insurers (ACLI) strongly encourages the U.S. Department of Labor to act on Congress’s strong and clear concerns about its proposed fiduciary regulation.

 

“A September 24 letter from Rep. Gwen Moore (D-Wis.) signed by 95 other Members cites unintended consequences for people seeking retirement advice and access to lifetime income products like annuities. In all 17 letters—signed by 317 Members of Congress from both chambers and both political parties— have been sent to the department expressing these and other concerns while also offering common sense suggestions to fix the proposal.

 

“In addition to the comments by Members of Congress, the department should closely examine and act on the more than 2,000 comments it has received about its proposal. They include many critical recommendations to improve the proposal without, unintentionally denying many low- to moderate-income Americans, access to the advice and guidance they want and need.

 

“The ACLI supports the goal that all financial advisors should act in the best interest of clients. The problem however, is in the details of the proposal. As written, it would hurt millions of American savers by limiting access to retirement advice, raise the cost of obtaining information and education about products that are vital to a financially secure retirement and discourage small businesses from setting up and maintaining retirement plans. ACLI’s most recent comment letter provides specific recommendations to improve the proposal.

 

“ACLI strongly urges the department to return to the drawing board and re-propose its regulation so that it is transparent, workable and does not trigger harmful, unintended consequences for America’s savers.”

 

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The American Council of Life Insurers (ACLI) is a Washington, D.C.-based trade association with approximately 300 member companies operating in the United States and abroad. ACLI advocates in federal, state, and international forums for public policy that supports the industry marketplace and the 75 million American families that rely on life insurers’ products for financial and retirement security. ACLI members offer life insurance, annuities, retirement plans, long-term care and disability income insurance, and reinsurance, representing more than 90 percent of industry assets and premiums. Learn more at www.acli.com.

CONTACT

Jack Dolan, 202-624-2418
Jack Dolan, 202-624-2418