The Securities and Exchange Commission approved Rule 151A with a 4-1 vote on Dec. 17. The rule classifies indexed annuities as securities, meaning anyone selling the products must possess a securities license. The rule has a two-year grace period so that it would apply to annuities purchased after Jan. 12, 2011.
Latest News & Updates About SEC Rule 151A
After Rule 151A, The Status Of Indexed UL Is Uncertain
Even though 151A is supposed to apply to indexed annuities only, part of the rule makes it possible to apply it to indexed universal life also.
Indexed Annuity Case Advances
Federal court orders a quick review of lawsuit against 151A
Coalition Sues SEC Over New Annuities Regulation
A coalition of insurance companies and independent marketing organizations has filed suit in federal court to overturn Rule 151A.
NAIC To Plan 151A Strategy
The National Association of Insurance Commissioners government relations leadership council will shape NAIC efforts to respond to 151A.
Final Version of Rule 151A
The SEC adds staff comment and changes to the final version.
SEC Approves Rule 151A With 2-Year Grace Period
On the same day SEC Chairman Christopher Cox said the agency failed to prevent one of the biggest swindles in world history, the commission voted 4-1 to extend its regulatory power by grabbing control of indexed annuities.
Original Rule 151A
This is the rule as it was proposed in June 2008. It has since been slightly revised. The revision will be posted when it becomes available.
Public Comments on the Rule
Here are the more than 4,800 public comments on the rule.
SEC Page with Video Versions of Chairman Christopher Cox’s Comments Before the Vote
SEC Chairman Christopher Cox opened the Dec. 17 hearing with comments supporting Rule 151A before the commission approved it.
Commissioner Troy Paredes’ dissenting comments
Commissioner Troy Paredes, who cast the lone opposing vote, had a significantly different opinion on the rule. He said it was a violation of federal statute and case law.
NAIC Disappointed With Ruling
The NAIC called the ruling “anti-consumer.”
Rep. Barney Frank Blasts Ruling
Rep. Barney Frank, chairman of the House Financial Services Committee, said the SEC chairman was asked not to proceed with the vote.
Insurance Regulators Oppose SEC Grab for Control
State regulators vow fight against ruling. BNet story.
A.M. Best Comments on the Decision
Rating agency discusses ruling and possible impact on ratings.
NAIFA Disappointed by SEC Vote
NAIFA says the reclassification is improper.
Indexed Annuity Carriers Plan for Implementation, Fight New SEC Rule
Sellers of indexed annuities are both preparing to implement a new U.S. Securities and Exchange Commission decision to regulate the products as securities and are developing strategies to fight it, judicially or politically. A.M. Best story.
SEC Ignores Congressional, State, and Industry Opposition to Indexed Annuity Proposal
The Coalition for Indexed Products issued a statement expressing "deep disappointment" in the Security and Exchange Commission's decision to pursue Proposed Rule 151A.
SEC Schedules Annuities Hearing; Rule 151A Vote Possible
InsuranceNewsNet’s story before the vote.
Producers -- It's Now or Never to Fight SEC's 151A, NAFA Says
NAFA’s call to producers before the vote.
Sheryl J. Moore Submits Formal Comment to SEC on Proposed Rule 151A
Annuities consultant Advantage Group Associates submits comments before the vote.
SEC Confident It Can Regulate Indexed Annuities
Before the vote, the SEC signals its intent in this A.M. Best story.
