Life Insurance and Annuities (A) Committee
Life Insurance and Annuities (A) Committee Page
Joint Executive (EX) / Plenary Committee Summary Report
Winter 2009 Meeting Summaries Index
The Life Insurance and Annuities (A) Committee met Dec. 6, 2009.
During this meeting, the Committee:
- Heard a legislative update of federal bills of interest to
the Committee.
- Adopted the Annuity Disclosure (A) Working Group report,
which included approving a request by the Working Group for
a one-year extension to complete its work on revisions to the Annuity
Disclosure Model Regulation (#245). The Working Group
discussed proposed revisions to the latest draft revisions
of annuity illustration guidelines forwarded by American Academy
of Actuaries and the American Council of Life Insurers and
identified several issues for continued discussion and resolution
by the Working Group. The Working Group reviewed the
latest draft buyer’s guides and extended the timeline
for comment on all three guides. The Working Group plans to
meet by conference call prior to the 2010 Spring National Meeting
to finalize all three guides.
- Adopted the Suitability of Annuity Sales (A) Working Group
report, which included adopting its Dec. 1 and Nov. 24 conference
call minutes. During its Dec. 1 conference call, the Working
Group reviewed and discussed the current draft of proposed
revisions to the Suitability in Annuity Transactions Model
Regulation (#275). At the conclusion of the conference
call, the Working Group adopted the revisions. The Committee
decided not to adopt the revisions to the Suitability in
Annuity Transactions Model Regulation (#275) during this
meeting. The Committee is requesting additional comments on
the proposed revisions until Dec. 14 for purposes of holding
a Committee conference call most likely Dec. 18. During that
conference call, the Committee intends to consider adopting
the revisions, which would include any additional revisions
based on the comments received during the extended comment
period.
- Adopted the Life and Health Actuarial Task Force report,
which included adopting the revisions to Actuarial Guideline
XLIII—CARVM for Variable Annuities (AG 43). The
revisions to AG 43 add Section IV.G to define reserves as of
Jan. 1, 2009. Appendix 8 was modified to add the required date
for filing the management certification, the actuarial certification
and the actuarial memorandum. The Task Force completed work
on the following sections of the Valuation Manual:
- VM-00 was amended and adopted.
- VM-01 was adopted.
- VM-21 was amended and adopted.
- VM-26 was adopted.
- VM-30 was amended and adopted.
The Committee decided not to adopt these Valuation Manual sections
as part of the Task Force’s report in order to give the
Task Force until the August 2010 NAIC national meeting to complete
VM-20, which is the principle-based valuation approach for Life
Insurance Products, and VM-25, which provides for a uniform valuation
basis for health insurance, prior to sending the amendments to
the Standard Valuation Law (#820) and Valuation Manual
to state legislatures. |
