DOL Rule Requires Securities License?: Opinion
April 20, 2016 by Andrew Unkefer
“Under the New Department of Labor (DOL) Rule, You Will Need a Securities License in Order to Comply…”
We have seen a shocking number of scared insurance agents calling our office to verify if the above statement is true. If you are an insurance only licensed agent and you sell fixed and indexed annuities, here is the pure and simple truth…
YOU WILL NOT NEED TO ADD ANY LICENSES TO COMPLY.
YOUR INSURANCE LICENSE IS ALL YOU NEED TO REPRESENT FIXED ANNUITIES, FIXED INDEXED ANNUITIES, SINGLE PREMIUM IMMEDIATE ANNUITIES, DEFERRED INCOME ANNUITIES AND EVEN THE NEW “FLOATING RATE” ANNUITIES WE ANTICIPATE IN THE FUTURE.
Unscrupulous marketing firms are calling independent agents. They pretend to care about your future and then tell you a lie. Why would they tell you this lie? To manipulate and control you. They take you for a fool and hope to get you to follow their instructions and to capture an unreasonable share of your revenue! If you have been told by an IMO, NMO, FMO or any marketing firm that you need to get a new license, they are lying.
Ask yourself this question…”Why in the world would I consider working with a marketing firm who chooses to begin their relationship with me based on a lie?”
After watching this all transpire and reading the 1,027 pages of the DOL rule, I know a few things.
- The DOL has no authority over what license you need to sell insurance products. The department of insurance in your state is responsible for this function.
- Whatever your current license allows you to present today, will continue to work in the future under this new rule.
- The DOL has increased your obligations to the consumer. They have not and cannot increase your licensing obligations.
- Some desperate IMOs, NMOs, and FMOs tell lies to agents. Shame on them!
TIP: If your current marketing firm or a new one calls you with this false story, ask them to email you. Mark them as SPAM and permanently filter them out of your life. They are trying to take advantage of you. Tell them to get lost.
Agents! Be wise! Vote with your business! Take your sales away from firms who spin lies and try to manipulate you! Seek out honest, professional, high character firms. Ask the insurance companies for a referral to a high character IMO. They will tell you who they are.
