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Insurance Regulations Life Insurance NAIC

Carlton Fields

NAIC Life and Annuity Illustration Subgroup and Suitability Working Group Construct More Guidance

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At the NAIC Spring National Meeting, the Illustration Subgroup and the Suitability Working Group reported that they are building out the following additions...more

Alston & Bird

Insurance Insights for the Cold, Dark Winter Nights

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Welcome to the latest issue of Insurance Insights, a gathering of notable legal developments and trends relevant to the insurance industry. In this issue, fires alter the landscape of California insurance, an expert’s...more

Carlton Fields

Expect Focus - Volume IlI, September 2024

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Gone With the Wind? Closed-End Funds Risk Extinction - Shares of SEC-registered closed-end funds (CEFs) have long held significant potential advantages for some investors. For example, unlike shares of mutual funds...more

Carlton Fields

Illustration Requirements May Be Up in the Air Again

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At the National Association of Insurance Commissioners’ Summer 2024 National Meeting, the Life Insurance and Annuities (A) Committee received a report of its Life Actuarial (A) Task Force and a presentation on indexed...more

Carlton Fields

NAIC Groups Carve Up the Mountain at the Winter Meeting

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After strapping on their skis and riding up the lifts, the NAIC groups reported to their events. The results of the events of note for life insurers are as follows...more

Carlton Fields

Expect Focus - Volume III, September 2023

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Regulators Hit Jackpot: Off-Channel Communications - Several years before announcing the first “off-channel” communications enforcement action, the SEC and FINRA cautioned broker-dealers and investment advisers about...more

Carlton Fields

NAIC Innovation, Cybersecurity, and Technology (H) Committee Gets in on the Action

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On July 17, the Innovation, Cybersecurity, and Technology (H) Committee of the National Association of Insurance Commissioners released its exposure draft of the NAIC’s model bulletin on insurers’ use of algorithms,...more

Carlton Fields

Regulators Gearing Up to Monitor Accelerated Underwriting Programs

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Following completion of its 2022 educational paper, the NAIC’s Accelerated Underwriting (A) Working Group (AUWG) moved to the second part of their charge — draft guidance for the states. During their call on February 22, the...more

Herbert Smith Freehills Kramer

NAIC Group Updates Financial Analysis Tools

A National Association of Insurance Commissioners (NAIC) working group adopted changes to the NAIC’s Financial Analysis Handbook (Handbook) capturing a number of current topics affecting insurers. Insurers should consider the...more

Carlton Fields

NAIC Task Force Gives Insurers a Holiday Rebating Gift

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Just in time for the holidays, the Innovation and Technology Task Force (Innovation TF) and the NAIC Executive (EX) Committee adopted revisions to Section 4(H) of the NAIC Unfair Trade Practices Act (Model 880). ...more

Carlton Fields

NAIC Groups Adopt 2021 Charges

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As the year of COVID-19 closes, NAIC groups are adopting their charges for 2021. Especially notable are the following: LATF’s Indexed Universal Life Illustration Subgroup will: This group will finalize its white paper on...more

Carlton Fields

Back to School for Annuity and Life Disclosures and Illustrations

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The NAIC Virtual Summer National Meeting marked that it is time to get back to school for a number of annuity and life disclosure and illustration initiatives. Both regulators and insurers will need to sharpen their pencils...more

Carlton Fields

NAIC Virtual Block Party

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The NAIC and the Interstate Insurance Product Regulation Commission (“Compact”) are cooking up various initiatives that will impact life and annuity issuers. Below is the spread of the different issues....more

Carlton Fields

No Summer Break for the Rebating Drafting Group

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The rebating drafting group of the NAIC’s Innovation and Technology (EX) Task Force (“Innovation TF”) has been busy all summer working on proposed changes to section 4(H) of the NAIC’s Unfair Trade Practices Act (UTPA). On...more

Carlton Fields

Not Quite Across the Suitability Finish Line

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While everyone may be growing weary, the work to revise the state insurance standard of care for annuity transaction recommendations is not quite finished. ...more

Carlton Fields

Topsy-Turvy World of Accelerated Underwriting and Artificial Intelligence

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As accelerated underwriting (AU) and artificial intelligence (AI) begin to turn life underwriting upside down, several NAIC working groups are seeking to bring order to the disruption: the Big Data (EX) Working Group (“Big...more

Herbert Smith Freehills Kramer

Indexed Life Insurance Illustrations – NAIC Adopts Guidance over NY Dissent

On August 14, at its all-virtual summer national meeting, the National Association of Insurance Commissioners (NAIC) adopted guidance governing illustrations for index-based life insurance. In a key development, New York...more

Carlton Fields

Is It Time to Come Out and Play? New Rules Proposed on What Constitutes Rebating

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While everyone was working from home, the NAIC's Innovation and Technology (EX) Task Force (Innovation TF) was busy creating proposed new game rules on rebating. ...more

Carlton Fields

NAIC Tills the Accelerated Underwriting Garden

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The Accelerated Underwriting (A) Working Group (AU WG) sprang into action during the first part of the year learning about the landscape of insurers' use of algorithms in underwriting and potential issues of such use, holding...more

Carlton Fields

Suitability Model Crosses the Finish Line

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On February 13, 2020, the NAIC Executive Committee adopted revisions to the Suitability in Annuity Transactions Model Regulation (#275) (Revised Suitability Model), which incorporates a best interest standard of conduct for...more

Carlton Fields

Innovation and Technology at the NAIC 2019 Fall Meeting

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Several NAIC groups continued addressing issues related to innovation in the life insurance industry as follows...more

Carlton Fields

NAIC Life Insurance and Annuities (A) Committee Ends 2019 With a Big Bang

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On December 30, 2019, the Life Insurance and Annuities (A) Committee approved a revised Suitability in Annuity Transactions Model Regulation (Revised Suitability Model), ending a flurry of activity over the past year....more

Carlton Fields

Out of the Gate Fast

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Arizona jumped out front of the pack with the introduction of Senate Bill No. 1557, titled "Annuity Transactions; Requirements," which would amend Arizona's suitability requirements for annuity transactions. Senate Bill No....more

Carlton Fields

Round and Round – Will 2020 Bring the End to Inconsistent Anti-Rebating Prohibitions?

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Since mid-2018, the NAIC’s Innovation and Technology (EX) Task Force (Innovation TF) has been considering how state anti-rebating laws impede insurers and producers’ ability to offer innovative products and services to...more

Carlton Fields

Innovation Whack-a-Mole

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Like a game of whack-a-mole, new or existing NAIC groups are being tasked to consider the various regulatory issues that are popping up from insurance innovation....more

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