Proposed Reg on Buyer's Guides
In a move reflecting state insurance departments' commitment to standardization, the Illinois DOI has issued a proposed regulation that will allow the use of the NAIC life Buyer's Guide in addition to the Illinois-specific one. An interesting part of this proposal is that it is expressly based on company requests as acknowledged in the proposed regulation: "This Part is being amended to allow insurers to use the National Association of Insurance Commissioner's (NAIC) Life Insurance Buyer's Guide as a substitute for the buyer's guide created by the Division of Insurance. Companies have asked to use the NAIC's Guide in order to maintain uniformity across states in which companies sell life insurance. Allowing for the use of either Guide in Illinois will improve the efficiency for the life insurer industry while maintaining consumer protections..." It is always welcome to see actions based on regulators' recognition that this type of requirement for state-specific documents adds significantly to the cost of doing business and inefficiency in product delivery. Kudos to the Illinois DOI!!
