There is a call for Dodd-Frank to be rolled back, which could lead to the unintended positive consequence of Indexed Insurance Products which are currently regulated by the National Association of Insurance Commissioners, to be potentially regulated by the Securities and Exchange Commission under their suspended rule 151(A). Since Indexed Insurance products are based upon the performance of underlying investments, then it would benefit the consumers who buy them and the agents who sell them to have higher level of training and compliance. Indexed Insurance products are complex financial instruments that go far beyond the concept of insurance and really understanding these products is challenging. The concept of Indexed Insurance products is great in theory, however, in practice, there are issues. The insurance industry has a responsibility to be providers of insurance and to provide easy to understand insurance products. There are many studies about how many Americans are under-insured when it comes to life insurance, however, the root of WHY they do not have life insurance or enough life insurance is continuously ignored and that is because the life insurance industry does not always sell insurance, they sell insurance plus something (cash value, long term care and so on) and most people do not understand the products.
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