Annuities

DOL Fiduciary Rule seen as cause for declines in most categories as two major annuity sales quarterly reports are released this week. Indexed annuity sales on pace for 5-10% decline in 2017; VA sales expected to drop 10-15%, falling below $100 billion for first time since 1998.

The Insured Retirement Institute's Aug. 7 comment letter says evidence demonstrates negative consequences the rule is already having on retirement savers and the industry.

With the DOL Fiduciary Rule now partially in effect, an increasing number of new tools are being introduced to help advisors and insurance agents comply in the new environment.

Expanded definition of who is a fiduciary and impartial conduct standards set to take effect June 9, but DOL won’t enforce provisions until start of next year.

Labor Secretary Acosta announces initial implementation will begin June 9 as the agency will continue to review the rule up until final implementation on January 1, 2018.

LIMRA Secure Retirement Institute expects overall sales in 2017 to fall below $200 billion, which would be the lowest annuity sales have been since 2001.

As industry associations including NAFA and IRI scramble to push for further delay of the scheduled June 9 initial implementation, FINRA Chairman Jack Brennan this week said whether or not the rule becomes law is now almost beside the point.