New IUL Illustration Rules Will Not Apply To In-Force: Regulators
June 9, 2020 by John Hilton
A state regulator task force took another step Thursday toward agreement on rule changes designed to rein in index universal life insurance illustrations.
In another “straw poll” vote, Life Actuarial Task Force members buried the in-force issue by voting 13-3 to affirm that any changes will only apply to new policies. Illinois, New York and California regulators voted against.
The task force is considering language proposed by the American Council of Life Insurers to shore up Actuarial Guideline 49 and bring IUL illustrations more in line with actual returns.