National Association of Insurance and Financial Advisors

GovUpdate: House Doc Fix Seeks Pay-fors including Medigap Changes

March 23, 2015

Issue: Medicare Supplemental Policies Action Taken:   On March 20, a bipartisan Working Framework to permanently replace the Medicare Sustainable Growth Rate (SGR) reimbursement formula was released by the House Energy and Commerce and Ways and Means Committees. The  summary does not contain legislative language. Instead, it is a conceptual outline that describes the major components to replace the SGR by which Medicare reimburses its doctors and to extend funding for the Children's Hea...

Key Contact Fly-In Sets Stage for Congressional Conference in May

March 16, 2015

Nearly 100 NAIFA members -- who have close relationships with their lawmakers—came to Washington March 4 to continue education on the value of current life insurance, annuity, retirement savings, and employee benefit tax rules. This very effective initiative set the stage for NAIFA’s Congressional Conference fly-in on May 19-20 .   The March 4 fly-in was sponsored by the Secure Family Coalition , a life insurance industry coalition dedicated to building awareness—especially on Capitol H...

In His Weekly Address, Obama Continues Call for DOL Fiduciary Rule

March 16, 2015

In his February 28 weekly address to the nation, President Obama focused his comments on garnering support for the Department of Labor (DOL) to proceed with a proposed rulemaking that will redefine what it means to be an ERISA fiduciary. DOL sent a draft proposed new rule—the contents of which remain top secret—to the Office of Management and Budget (OMB) on February 23. OMB review of the draft, the last step prior to proposing a regulation, is expected to take 60-90 days. In response, NAI...

Key House Member Introduces Bill to Stop DOL Fiduciary Rule until SEC Acts

March 16, 2015

On February 25, Rep. Ann Wagner (R-MO) introduced H.R.1090 , a bill that would stop the Department of Labor (DOL) effort to expand imposition of fiduciary duty on financial professional who are advising individuals about their retirement savings funds. The bill would require DOL to hold off on its ongoing rulemaking on fiduciary for ERISA purposes until after the Securities and Exchange Commission (SEC) finalizes its Dodd-Frank required effort to examine whether broker-dealers and investment...

JCT Identifies Deferred Compensation as Part of Tax Code Unfairness

March 16, 2015

On March 2, Senate Finance Committee ranking member Sen. Ron Wyden (D-OR) released a Joint Committee on Tax (JCT) report identifying six areas of unfairness in the tax code. Among the six is deferred compensation.   Five of the six areas of unfairness identified by the JCT are financial services instruments—e.g., derivatives and wash sales. But JCT noted that most workers are not covered by deferred compensation arrangements and questioned whether it is fair to let higher-paid workers c...