A National Association of Insurance Commissioners' committee voted Friday to kick off a model law development project to drop the standard minimum nonforfeiture interest rate for individual deferred annuities from 1% to 0%. Regulators told the Life Insurance and Annuities Committee the nonforfeiture floor reduction is needed by insurers due to COVID-19 impacts. The 10-year Treasury rate fell well below 1% amid the virus outbreak in March and has not recovered.
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