National Association of Insurance and Financial Advisors

One Retiring Senator’s Objection Prevents NARAB II from Becoming Law

December 17, 2014

On December 16, just before final adjournment of the 113th Congress, Sen. Tom Coburn (R-OK) objected to a unanimous consent (UC) request to bring to the floor a bill that would create the National Association of Registered Agents and Brokers (NARAB) . The “NARAB II” language was attached to what had been considered a “must-pass” bill to reauthorize the Terrorism Risk Insurance Act (TRIA). As a result of the Coburn objection and the consequent failure to reauthorize TRIA, the TRIA program wil...

113th Congress Adjourns after Failing to Pass NARAB/TRIA, but Approving Tax Extender and Government Funding Legislation

December 17, 2014

The 113 th Congress adjourned sine die on December 16, after taking final action on several bills important to NAIFA members and their clients. These include: Failure to create the National Association of Registered Agents and Brokers (NARAB) . “NARAB II” would allow non-resident licensing in multiple states through just one national entity. It is likely NARAB II will come up again early in 2015, with, hopefully, a better outcome.   Failure to reauthorize the Terrorism Risk...

Congress Passes One-Year Reinstatement of Tax Rules that Expired in 2013

December 17, 2014

On December 16, the Senate voted (76 to 16) to approve H.R.5771, a bill that reinstates for 2014 almost 60 tax rules that expired in 2013. The House passed the bill on December 3 by a vote of 378 to 46. Among the provisions included in the $41.6 billion (over 10 years) bill—which was not offset—are two rules important to many NAIFA members and their clients. They are:   Section 179 Expensing: Because of enactment of H.R.5771, now available for 2014 is the rule that allows a business t...

Illinois Lawmakers Approve State Sponsored Retirement Plan

December 17, 2014

On December 3 the Illinois Senate voted to approve Senate Bill 2758 – the Illinois Secure Choice Savings Program.  The bill will establish a state-sponsored retirement plan that employers with 25 or more employees who do not currently offer a retirement plan would be required to offer to their employees. NAIFA opposes this type of legislation because a state plan will unnecessarily compete with comprehensive private market retirement solutions and NAIFA believes limited state resources woul...

Funding Bill Includes Multiemployer Pension Plan Funding Changes

December 17, 2014

Enactment of the year-end funding bill, H.R.83, means new law for underfunded multiemployer (labor union) pension plans. The new law allows multiemployer plan trustees to seek benefit cuts (“suspension of benefits”) for already-retired participants, and doubles Pension Benefit Guaranty Corporation (PBGC) premiums from $13 per plan participant to $26 per plan participant. The new rules also give the PBGC authority to merge plans to shore up underfunded plans.   The controversial package wa...