Allianz: DOL Might Pull FIAs Out Of BICE
May 17, 2016 by Cyril Tuohy
A senior executive with the top-selling fixed indexed annuity (FIA) insurer in the U.S. said the Department of Labor might pull FIAs out of the most restrictive exemption when sold in retirement accounts.
Regulators added FIAs to the Best Interest Contract Exemption in the final version of a fiduciary rule, or “Conflict of Interest” rule, published April 6, because they are considered complex. The BICE requires hefty disclosures and a signed contract with clients.
The change caught the industry by surprise since FIAs were not included in the BICE in the draft rule issued last year.
In a conference call with analysts, Dieter Wemmer, chief financial officer of Allianz, suggested that FIAs might be dropped from the BICE just as quickly as they had appeared.
Click HERE to read more. INN news articles may require a subscription to view
