On February 10, 2009, the National Association of Insurance Commissioners (“NAIC”) and the National Conference of Insurance Legislators (“NCOIL”) filed suit in the U.S. Court of Appeals for the District of Columbia Circuit seeking to overturn Rule 151A adopted by the Securities and Exchange Commission (“SEC”) which classifies certain indexed annuities, previously regulated as insurance, as securities, and thus subjects them to federal, rather than state, regulation. According to industry reports, it is possible that the NAIC and NCOIL’s suit will be combined with another suit filed by a coalition of insurers that sell equity indexed annuities (click here for a summary of that suit).
The case is National Association of Insurance Commissioners et al. v. U.S. Securities and Exchange Commission, 09-1056, U.S. Court of Appeals for the District of Columbia Circuit.
We will continue to monitor this matter and provide further updates on InsureReinsure.com.
