Who Regulates Traditional Life Insurance And Fixed Annuities?

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Question of the day, who regulates life insurance and fixed annuities? Great question. Hey there,

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my name is Stan the Annuity Man, America's annuity agent, licensed in all 50 states,

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the pioneer of contractual guarantees only, which is what we do. You own an annuity for what it will

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do, not what it might do. I have to explain the t-shirt every time I walk out. You know, we got

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this palatial studio, parts unknown, flying. It's like a mountain. It's like inside of a mountain.

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I come out with these t-shirts and the people behind the camera are like, "What is that?"

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The Annuity Man Steakhouse. So, we're going to say, "What does that mean, Stan?" Here's

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what it means. Own the steak, not the sizzle. Don't don't fall for the sales pitch. But we're

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going to talk about who regulates all this stuff, life insurance, fixed annuities, etc. after this.

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So, here we go. Four letters. N A I C, N A I C, N A I C. National Association of Insurance

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Commissioners. That's who regulates life insurance and fixed annuities. So, you go to naic.com. Great

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group of guys and gals. Not sure they're, yeah, I haven't gotten Christmas cards from them recently

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because I'm a little, cantankerous, as they say. But they know I'm helping the industry.

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I've heard through the grapevine that they do like what I'm doing out here, and I like

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what they're doing, which is making sure that the consumers are safe. So the NAIC does that.

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Life insurance companies issue fixed annuities. They issue all annuities, including variables,

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but they issue fixed annuities, and the National Association of Insurance Commissioners is a

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representation of all 50 states. So each state has an insurance commissioner. Of you know, if

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you're in the state of North Carolina, there's the North Carolina insurance commissioner. Okay, they

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oversee everything. Now, the good news is that the NAIC oversees the state, and then the state

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oversees the state guarantee fund, which backs up all life insurance and annuities, fixed annuities,

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to a certain level. But it's not FDIC. Please do not say, "Well, this guy told me state guarantee

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funds just like FDIC." No, it's not. F stands for federal. F stands for we're going to freaking

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tax you to get your money. That's what F stands for. Okay. State guarantee fund is a warm, fuzzy

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blanket. It's like your uncle Ernie coming to the family reunion wearing belt and suspenders just in

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case. But when you're buying A+ or better carriers for, say, lifetime income, state guarantee fund,

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schmund, who cares? People say, "Well, son, if those A+ companies go out of business."

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Yeah, if they go out of business, we're screwed, Ernie. Okay, grab your loved ones. Hug them. Love

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the one you're with. Crosby, Stills, Young, and Nash, I think. I think Young was with them

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at that point in time before he went crazy. Long story, but great, great sideburns. Like,

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if I could do those mutton chop sideburns, Big C behind the camera, you know, I would do that.

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But the state guarantee fund, that's for the, you know, those companies like Sinking Sands of Texas.

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That's not a company. I'm making that up. But the point is, if you're buying crap companies,

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then I guess, you know, it works. We had a guy call the other day. We said he's mentioned a

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company that l there's some companies in the MYGA space, the multi-year guaranteed annuity space,

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which is the annuity industry version of a CD. And they might be offering these high rates. And I had

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a guy call the other day, "Why aren't you selling XYZ company? They're offering this high rate." I

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said, "Because I could buy them." Okay. We're not going to recommend any company that I can buy.

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I mean, they have to be solid. So, well, he goes, "Well, I'm gonna buy it anyway because

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of the state guarantee fund." I'm like, "Go for it, Ernie." Okay. The last company that was like

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B+ rated that got absorbed by the state guarantee fund because they had a sociopath person leading

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the company, I'm trying to be nice, took them five years to get the money back. Hello. Hello. Okay.

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That's not fun. Why not just buy quality? Okay, so the state guarantee fund is there, but the

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A+ companies are the ones putting the money out. So, let's just buy A+ or better. You don't need a

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sweater. For MYGAs, we might buy a little bit less of a rating, but I'm looking, "I, I, I, I" Stan

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I'm looking underneath their financial hood, and I'm signing off on it. So, remember, for lifetime

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income, we're going to marry the carrier for life. For MYGAs, we're going to date the carrier for

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that specific time period. So, I'm looking at that specific time period. But the regulation over the

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annuity company's fantastic. There's two, there's two forms of regulation, in my opinion. One

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it's not made up, but I just know it exists. But the first one is the...

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state, the National Association of Insurance Commissioners, and the state,

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insurance commissioner working together in conjunction to make sure that the consumers are

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protected. But the one that I truly believe in is the annuity mafia. And the annuity mafia are the

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big companies that's not going to let some idiot at Sinking Sands of Texas, which isn't a company,

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but it should be. Not really. They're not going to let that person ruin it. Annuities, many

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different types, are confidence products. If the public lost confidence in the fact of the claims

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paying ability by the carrier, it's a wrap. It's over. I got to sell all these t-shirts with all

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the logos on them. But that's not going to happen because of how they are regulated and overseen.

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Life insurance companies that issue annuities, they can't do stupid things with your money.

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They can't. They can't legally do that. And, one of the people that did that recently with

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a B-rated company, they went to prison. They found out that he was doing something nefarious with the

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money. He went to prison. He's in prison for a long time. And the biggest, baddest, meanest,

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most powerful lobby on the hill in DC is the insurance lobby. Okay, I know you're, no,

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it's not. It's Israel and it's NRA. No, it's not. It's the insurance lobby. They have the

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most money. They don't need guns. Okay? It's not going anywhere. In fact, it's going to grow. And

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if the annuity industry and the life insurance industry and the NAIC and the state insurance

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commissioners would just get behind the Pied Piper of annuity truth here, this industry would triple

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if we would just look at contractual guarantees only. If it would just turn into CGO, contractual

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guarantees only, and all these whipsy doodle sales pitches of hopes and dreams and unicorns chasing

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the butterflies, if those were outlawed, people would buy contractual guarantees and they would be

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help happy with it, and they would be healthy with it. You're going to, I read a story the other day,

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Big C behind the camera, that people with lifetime income in place live longer. Why, you say? Because

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you're not thinking about anything. You're not worrying about anything. We've all been

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there scrimping and saving early in our lives where, man, you know, when the first came, you

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had to make the bills. It was tough. Or if we had daughters like I did that went to private schools

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like NYU and that bill came up, you're like, "Holy crap." But when you have lifetime income in place,

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you got, you have less stress. If you have less stress, you're going to sleep better. If you

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sleep better, you're going to feel better. If you feel better, you're going to live longer. And yes,

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I think I was premed for like a semester in college, and then I looked at the curriculum like,

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"No, man, I'm not doing that. I'm going to be the annuity man." Right, so bottom line is the

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industry, the life insurance industry, the fixed annuity industry, which is one and the same, good

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hands, naic.com. Go to it. It's fantastic. They do a great job. Not sure why I'm not the keynote

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speaker at their annual event, but that's a whole another story. I think Big C behind the camera,

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that they don't have my address for the Christmas cards. I really believe that they really want to

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write that Christmas card, but they just haven't gotten around to it. So, right now, you can do

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that. Or you can email me, [email protected] . Do me a favor. Up above me, spinning clock.

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You're saying, "Stan, how'd you do that? How did you do that?" Tech guru, baby. I'm a tech guru,

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or at least have them surrounding me, walking beside me. But above me,

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lifetime income. We talk about lifetime income, how it's priced. It ain't the Fed. Okay? It ain't

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the Fed. Don't time the Fed. Okay? Okay, I can talk like that. I'm from Stanley,

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North Carolina. No, they did not name the town after me, but they should have. But watch that

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video because it talks about lifetime income. And right now, lifetime income is a bargain because

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eventually artificial intelligence is going to reprice the whole thing against you. So,

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it might be time to lock in. All right. Annuity Man Steakhouse. Buy the steak, not the sizzle.