The Depository Trust & Clearing Corporation (DTCC) is to launch an automated, central repository for annuity product information and specifications in a bid to speed up and streamline the sale of both variable and fixed annuities for the insurance industry.
The new service, scheduled to begin testing shortly, is being showcased at the Association for Cooperative Research and Development (Acord) annual conference held this week in Orlando.
The service, offered by DTCC's insurance services group, will allow insurance carriers, distributors and vendors to share product information in an automated, standard format. The service utilises the industry's Product Profile data standard developed by Acord.
Once an insurance carrier downloads its annuity data information to DTCC's repository, distributors will be able to access annuity product information and specifications for almost 50 major insurance carriers linked to DTCC's services. Information that will be in the repository includes basic product data such as premium information, Cusip numbers, riders and rider options.
The Web-based service, subject to regulatory approval, also allows distributors and financial advisers to review annuity information for marketing and sales purposes.
Traditionally, distributing annuity product information for sales and marketing purposes has been a time-consuming task, involving brochures, spec sheets, emails and telephone calls. Randall Grespin, managing director for distribution services, DTCC, says: "The new DTCC repository, coupled with Acord's standard, will dramatically speed up the process, further mainstream annuity and life insurance products and help boost revenues for both carriers and distributors."