Response Excerpt:
WASHINGTON (Nov. 2, 2015) — With only 22 percent of American workers very confident that they’ll have enough money to live comfortably throughout their retirement1 , there is a clear need for trusted insurance advisors and products that can generate guaranteed lifetime income. A fixed annuity is the only product that allows individuals to accumulate retirement savings, protect those savings from market losses and guarantee income that lasts a lifetime. However, a report released last week by Senator Elizabeth Warren (D – Mass.) ignores the benefits of these products and their growing popularity among consumers. In particular, it contains misstatements and unsupported conclusions about fixed annuities and annuity sales professionals that might create unnecessary worry and confusion for consumers.
“While we do not doubt the Senator’s sincerity in her concern for retirees, we fear that the inaccuracies in the report will deter consumers from securing the benefits of fixed annuities,” said Chip Anderson, NAFA’s Executive Director. “In truth, fixed annuities offer excellent consumer value and are the only financial product available that provides guaranteed income for life – with no downside risk to the client’s principal. They are supported by rigorous and comprehensive regulations that protect consumers and which have resulted in extremely high owner satisfaction rates.”
View NAFA’s entire response to Senator Warren HERE.