Do Some Life Insurance Products Need More Regulation Than Others?
2016 0403 - LIIIWG CC, NAIC Proceedings
<Mr. Lovendusky - ACLI> said the ACLI work group thinks that most confusion for consumers involves complex products like universal life, and not Simple products like term life. He said consumers are mostly confused about options, guarantees and riders.
The ACLI work group was considering asking the life insurance and Annuities (A) Committee to narrow the charge to look at only products with options, guarantees and riders, but Ms. Cude said she thinks that it is important to consider how the disclosures for all products could be improved.
More complex products sold to individual consumers (e.g., universal life policies) tend to generate more market conduct problems than simple products (e.g., term life insurance).
2003 0701 - NCOIL - The Path to Reform –The Evolution of Market Conduct Surveillance Regulation - Prepared for the Insurance Legislators Foundation by PricewaterhouseCoopers LLP and Georgia State University - [PDF-117p]
- 2004 0331 - GOV - WORKING WITH STATE REGULATORS TO INCREASE INSURANCE CHOICES FOR CONSUMERS
- (PDF: 205p, No VIDEO)
- House - Committee on Financial Services - Capital Markets, Insurance and Government Sponsored Enterprises
- J. Robert Hunter, Director of Insurance, Consumer Federation of America
- One would be, for example, term life insurance, I think you could totally deregulate.
- ...people understand term life insurance and so on.
- You get into some of the cash value products, people are very confused.
- They need help.
- They need information.
- It is a very difficult product.