NAIC Panel Whacks IUL Illustrations; Industry Calls Time Out
November 6, 2019 by John Hilton
State insurance regulators are trying to crack down on wayward indexed universal life insurance illustrations via an amendment to Actuarial Guideline 49.
The tentative change — which still needs final approval — would bar IUL illustrations with bonuses or multipliers from illustrating higher than IUL products without these features.
The Life Actuarial Task Force held a call last week to give direction to its IUL Illustration Subgroup on AG 49. During the call, LATF voted to add language tightening AG 49, which was approved in 2015.