Sammons to introduce paperless annuity transfers
Sammons Financial Group member companies Sammons Institutional Group, Midland National Life Insurance Company, and North American for Life and Health Insurance, this week will introduce a new paperless transaction process for annuity transfers. Additionally, SIG’s participating companies include Sammons Retirement Solutions and Midland Retirement Distributors.
Sammons Financial Group is one of three annuity carriers that helped to develop, test, and pilot this technology. The project’s focus is to increase the speed, efficiency, and accuracy of annuity transfers. The work is pioneered through the company’s ongoing relationships with the Insured Retirement Institute (IRI) and the Depository Trust and Clearing Corporation.
Annuity transfers between carriers is considered the first step to move annuity transactions to an all-digital process, and they are among the most significant part of the industry’s work. The primary focus today is to move from a lengthy, labor-intensive process which can take several weeks, to one that takes just a matter of days. That is why the Depository Trust and Clearing Corporation created its new service to manage the work. IRI expects other companies will adopt and implement this new process later this year.
“This historic move directly benefits our clients. It also assists our distribution partners, advisers, and agents by reducing paperwork and transitioning annuity sales and renewals to a digital platform. We have all grown accustomed to on-demand services. Our clients expect this level of convenience, and it is essential for the financial services industry to continue simplifying and speeding up the processing of financial transactions. This has become increasingly critical for today’s retirees.” – Casey Decker, Chief Operating Officer of Midland National and North American.
“This first paperless transfer annuity transaction is just the beginning of what our Digital First for Annuities initiative can deliver. We are creating a modern, consumer-centric infrastructure by embracing advancements to help streamline processes, reduce errors, and accelerate transactions. This transformative work continues to gain momentum.” – Wayne Chopus, IRI president and Chief Executive Officer,.
