SEC Proposed Disclosure Improvements for Variable Annuities and Variable Life Insurance Contracts


On October 30, the Securities Exchange Commission (“SEC“) announced it voted to propose rule changes intended to improve disclosure for investors about variable annuities and variable life insurance contracts. Such improvements would focus on helping investors better understand a contract’s terms, benefits and risks. The proposed rule would permit the satisfaction of prospectus delivery obligations under the Securities Act of 1933 for a variable annuity or variable life insurance contract by sending or giving a summary prospectus to investors and making the statutory prospectus available online. Release.