WASHINGTON – American Council of Life Insurers (ACLI) President and CEO Susan Neely and National Association of Insurance and Financial Advisors (NAIFA)-Rhode Island President John Howard issued the following joint statement on the best interest annuity rule approved yesterday by the Rhode Island Insurance Department.

“Rhode Island joins a growing list of states that are improving protections, including access, for consumers seeking guaranteed lifetime income from an annuity.

“The new rule incorporates the ‘best interest of consumer enhancements’ to the National Association of Insurance Commissioners (NAIC)  Suitability in Annuity Transactions Model Regulation that require consumers receive important information, in plain English, so they make informed decisions when purchasing an annuity. The rule also closely aligns with SEC’s Regulation Best Interest, providing Rhode Island consumers with important protections at the state and federal levels. Most importantly, this approach gives retirement savers confidence that financial professionals they work with are acting in the best interest of consumers while also protecting lower-and middle-income savers’ access to information and savings vehicles.

“ACLI and NAIFA-Rhode Island thank Rhode Island Superintendent Elizabeth Kelleher Dwyer for her actions on behalf of retirement savers in her state. We urge other states to do the same so consumers nationwide can enjoy these important protections.” 

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.