Regulators ponder how to tamp down annuity illustrations as high as 27%
March 5, 2026 by Staff
Wink’s Moore on the Market: There are indexed annuities that illustrate considerably higher than 27%.
The 200+ different indexes that adorn indexed annuities are responsible for this illustration nightmare.
If you want a solution, allow the index to be illustrated 1% – 2% greater than the 10-year treasury rate.
All indexes. No backcasting. No cherry picking. No manipulating of outcomes.
Moore out. 🎤 -sjm
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Current annuity illustrations from top sellers show returns as high as 27% in one year, said Ben Slutsker, director of life actuarial valuation at the Minnesota Department of Commerce.
Slutsker noted the juicy illustrations Tuesday during the first meeting of the newly named Life Insurance and Annuities Illustrations Working Group.
Created at the National Association of Insurance Commissioners’ fall meeting in November, the working group will: “Evaluate concepts for improving life insurance and annuity illustrations and disclosures, and consider revisions to relevant NAIC models or develop other guidance where feasible and appropriate.”
