On the similar time, the go well with continues, “the DOL amended a number of associated ‘prohibited transaction exemptions’ … together with an modification to PTE 84-24, which instantly pertains to the compensation that insurance coverage brokers might obtain if they’re deemed to be fiduciaries below the brand new 2024 Fiduciary Rule.”
Labor’s 2024 fiduciary rule and PTE “amendments are simply the newest salvos by the DOL in its virtually 15-year quest to re-define what it means to be an ERISA fiduciary in contravention of the need of Congress,” the go well with states.
“Furthermore, it blatantly defies the prior ruling of america Courtroom of Appeals for the Fifth Circuit … hanging down a rule bundle that was successfully indistinguishable from the 2024 Fiduciary Rule,” it explains.
FACC mentioned in an announcement Thursday that it was “upset that the DOL has chosen to go down this similar drained path with one more proposal that blatantly violates the 2018 ruling by the Fifth Circuit and arrogantly ignores limitations of its authority below ERISA.”
The DOL’s new guidelines, finalized on April 23, “are one more assault on the monetary providers business — particularly insurance coverage brokers — that solely serve to create extra price and confusion for American shoppers,” FACC mentioned.
The group mentioned that it “strongly helps state insurance coverage regulation, together with the newest updates to the NAIC Mannequin Regulation establishing finest curiosity gross sales conduct necessities that present shopper safety whereas preserving shopper alternative.”
Associated: The 2024 DOL Fiduciary Rule: A Timeline
