By Jim Poolman
Moderating risk and reward is an important part of building a sound financial plan, but it’s often easier said than done, especially in difficult financial times. While a few have given indexed annuities a bad rap, these insurance products actually have a number of unique benefits, including principal protection, growth opportunity and guaranteed lifetime income, that make them a good retirement planning tool. In order to give consumers accurate information about indexed annuities, nine life insurance organizations and producers have joined together to create the Indexed Annuity Leadership Council (IALC).
The IALC is committed to providing complete and factual information about indexed annuities as part a balanced financial plan. This site will be a resource for consumers to get educated about indexed annuities, find answers to questions you should be asking before purchasing an indexed annuity and learn more about retirement planning in general.
In future posts, we’ll discuss common misconceptions about indexed annuities, as well as questions people often have about the products. For example, recent articles have cited aggressive marketing practices and lax insurance regulations when it comes to indexed annuities. However, insurance agents who sell indexed annuities are mandated to participate in product-specific training that is far more comprehensive than the sales product training for securities brokers, such as mutual funds. Additionally, strict suitability requirements have been set by the National Association of Insurance Commissioners to ensure that consumers are getting the right products for them.
While we’re not here to provide financial advice, we are here to make sure you have the facts and tools you need to make a decision about whether indexed annuities are right for you. Got a question? Send us an email or leave a comment and we’ll do our best to give you an answer. Members of the IALC will update this blog with new information twice a week.
Thanks for reading and spread the word!