IPipeline Prepares for DOL Fiduciary Rule Pipe Building

In addition to the IMOs, FMOs and BGAs, iPipeline serves about 100 insurers, 2,500 broker-dealers, many financial institutions and many managing general agents.

In 2022, its systems supported about $55 billion in annuity-related transactions.

The DOL rule impact: Today, Powell said, broker-dealers handle compliance oversight for variable annuity sellers, with life insurers handling suitability reviews for the agents and brokers who sell life insurance and non-variable annuities.

Typical IMOs and FMOs have focused more on matters such as technology support.

Now, however, “the large ones want to own more of the process,” Powell said.

The DOL has tried to implement fiduciary standards before, and the Securities and Exchange Commission recently began applying the new Regulation Best Interest standards to variable annuity sellers.

IPipeline executives are expecting their role in supporting Labor Department standard compliance to be comparable to what they now do for broker-dealers.

They believe that the list of key implementation players will include the Insured Retirement Institute, ACORD, Depository Trust & Clearing Corp., distribution technology firms and the insurers’ own compliance and technology teams.

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