We would love to hear from you. Click on the ‘Contact Us’ link to the right and choose your favorite way to reach-out!

wscdsdc

media/speaking contact

Jamie Johnson

business contact

Victoria Peterson

Contact Us

855.ask.wink

Close [x]
pattern

Industry News

Categories

  • Industry Articles (21,155)
  • Industry Conferences (2)
  • Industry Job Openings (35)
  • Moore on the Market (414)
  • Negative Media (144)
  • Positive Media (73)
  • Sheryl's Articles (800)
  • Wink's Articles (353)
  • Wink's Inside Story (274)
  • Wink's Press Releases (123)
  • Blog Archives

  • March 2024
  • February 2024
  • January 2024
  • December 2023
  • November 2023
  • October 2023
  • September 2023
  • August 2023
  • July 2023
  • June 2023
  • May 2023
  • April 2023
  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • October 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • November 2015
  • October 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • December 2014
  • November 2014
  • October 2014
  • September 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014
  • January 2014
  • December 2013
  • November 2013
  • October 2013
  • September 2013
  • August 2013
  • July 2013
  • June 2013
  • May 2013
  • April 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • November 2012
  • October 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • August 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • November 2008
  • September 2008
  • May 2008
  • February 2008
  • August 2006
  • 4 Facts About New York’s New Life And Annuity Premium Rule

    October 3, 2017 by Allison Bell

    Insurance regulators in New York state are getting ready to implement a new regulation that could affect how life insurers implement some types of premium increases and parameter changes involving in-force life insurance policies and annuities.

    Click HERE to read the original article via ThinkAdvisor.

    New York regulators began working on the regulation in 2008, in part in response to reports about problems with “vanishing premium” life insurance products, or interest-sensitive life insurance policies set up in such a way that the effects of interest earnings on policy cash value were supposed to eliminate the need for the holders to make premium payments. A sharp, prolonged drop in interest rates threw off the original calculations and forced the holders to begin paying premiums to keep policies in force.

    The new regulation is set to take effect March 19, 2018. If the regulation takes effect on time, and works as regulators expect, it could end up affecting how insurers make some types of changes in crediting rates and indexed account parameters, as well as how they make changes in life insurance premiums.

    The regulation works mainly by requiring the insurers to send new notices to the state Department of Financial Services (DFS), and by setting new standards for notices for consumers.

    The department has posted a copy of the new regulation: http://www.dfs.ny.gov/insurance/r_finala/2017/rf210txt.pdf

    Maria Vullo, New York state’s financial services superintendent, said in a statement about the new regulation that the state DFS hopes the regulation will protect state residents against unfair cost increases.

    “With this department, DFS will have the ability to review increases by life insurers and ensure any increases comply with law, and consumers will be provided advance notice of any adverse changes to their premiums,” Vullo says.

    Although the regulation would apply on in New York state, it could affect how regulators in other states write and apply their own regulations.

    For a look at seven things to know about the regulation, based on a DFS summary of the regulation and a DFS analysis of comments on a draft version of the regulation, read on.

     

    1. The regulation changes state and consumer notice rules.

    An insurer making many types of “adverse” premium and parameter changes must note state regulators 120 days before making the change, and it must notify consumers, with a special notice, at least 60 days before making the change.

    2. The regulation affects changes in “non-guaranteed elements” in a life insurance policy or annuity contract that are based on expectations about future performance other than investment performance.

    Regulators say an insurer will have to comply with the new rules if, for example, it cuts crediting rates because of concerns about the future effects of variables such as low contract sales or high lapse rates.

    An insurer would not have to use the new rules to make changes in crediting rates or indexed account parameters that are due entirely to changes in expected investment income or hedging costs, according to the DFS analysis of comments on the draft version of the regulation.

    “Changes due to, for example, changes in interest rates should be straightforward and need not be reviewed,” officials say in the comment analysis.

    3. The regulation affects group annuities, and fixed accounts inside variable annuity contracts.

    DFS official say excluding certain types of arrangements from the new requirements could lead to unfair treatment of the participants in those arrangements.

    4. Some commenters questions whether DFS has the statutory authority to make the changes it’s making.

    Insurers and insurance distributors have made many successful efforts to fight off implementation of federal and state regulations in the courts, and they may have started making their legal case against implementation of the New York regulation.

    One commenter told DFS that, once DFS conducts a review and proposes changes, the changes should be voluntary, because anything else would exceed current DFS authority.

    DFS officials contend that state law requires non-guaranteed elements in a life insurance policy or annuity contract to be based on reasonable assumptions, and that officials have the authority to ask for changes in non-guaranteed elements affected by changes in assumptions. 

    Originally Posted at ThinkAdvisor on October 2, 2017 by Allison Bell.

    Categories: Industry Articles
    currency