WASHINGTON, D.C., Feb. 3, 2017—The Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) praises action taken today by the Trump Administration calling for the Department of Labor (DOL) to halt implementation of the Obama Administration’s controversial fiduciary rule and undergo a complete re-review of the measure.
“The Big ’I’ is grateful to the Trump Administration for standing up and taking action to direct the DOL to halt implementation of the fiduciary rule,” says Robert A. Rusbuldt, Big “I” president & CEO. “The DOL rule places overly burdensome requirements on Big ‘I’ members who offer retirement advice, leaving many insurance agents and brokers struggling to find a way to effectively serve their clients moving forward. President Trump’s order has come just in time, as implementation of the rule is already resulting in less consumer choice for the middle class.”
The DOL rule was finalized in April 2016, but operation of the rule was delayed until April 2017 in order to give the industry time to comply. The rule tightens conflict of interest rules under the Employee Retirement Income Security Act (ERISA) and requires insurance agents and brokers who give guidance about certain retirement investments to adhere to a fiduciary standard of care.
"While the association does not necessarily oppose a best interest standard for insurance agents and brokers, the Obama Administration’s fiduciary rule is simply unworkable for many Big ‘I’ members and harmful to many consumers,” says Charles Symington, Big “I” senior vice president of external and government affairs. “The Big ’I’ looks forward to working with the Trump Administration and Congress as the DOL reviews the next steps pursuant to the President’s executive order.”
Founded in 1896, the Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) is the nation’s oldest and largest national association of independent insurance agents and brokers, representing a network of approximately a quarter of a million agents, brokers and their employees nationally. Its members are businesses that offer customers a choice of policies from a variety of insurance companies. Independent agents and brokers offer all lines of insurance—property, casualty, life, health, employee benefit plans and retirement products. Web address: www.independentagent.com.