Can an RIA sell variable life insurance?

Solely under the RIA umbrella, you cannot offer or sell variable insurance products. Even commission securities products. Part of that does then give you the ability, if you’re set up like that, to offer variable insurance products, so variable annuities.

What can an RIA sell?

A variety of financial products

• Stocks.
• Bonds.
• Bank products (certificates of deposit, money market accounts)
• Stock futures.
• Commodities futures.
• Designated retirement accounts.
• Life insurance products.
• Annuities.

Can an insurance company be an investment advisor?

only insurance companies, are excluded from the definition of “investment adviser” or are otherwise exempted from registration as investment advisers. An adviser with a principal office and place of business outside the United States excludes non-U.S. clients in this determination.

What is an insurance RIA?

RIAs: An Overview. That covers a lot of territory, but ultimately all such planners and advisors who manage assets (other than annuities or life insurance) fall into one of two categories: They can either be registered investment advisors (RIAs) or registered representatives that work for an independent broker-dealer.

Can RIA sell annuities?

With [our model], it’s the client paying their financial advisor for the financial advice of providing an annuity that’s in their best interest. RIAs selling annuities can be quite helpful for their clients’ retirement planning, correct? Yes.

Can a CFP sell life insurance?

Insurance agents, financial experts, financial advisors, and CFP professionals all have the ability to sell disability and life insurance if they have a life license, but only CFP professionals have required training and certification to have their title.

Can an RIA sell an annuity?

Annuities weren’t products built for their business model because the carriers [offered] only annuities that were built with commissions. RIAs can’t accept commissions; so they couldn’t use the product. And many aren’t insurance-licensed [anyway] — they had no need for that license since they couldn’t sell annuities.

Can you sell insurance and be a financial advisor?

Many financial advisors view life insurance as an important part of the financial planning and wealth protection services they offer their clients. In lieu of selling life insurance directly, a financial advisor can provide their clients with referrals to qualified insurance professionals.

Can CFP sell insurance?

Does an RIA need E&O insurance?

While RIA firms are not always required to secure errors and omissions insurance from a regulatory standpoint, as RIA registration and compliance consultants we strongly recommend that investment advisers secure adequate errors and omissions (E&O) insurance coverage.

Can an IAR sell insurance?

However, the reality is, RIAs actually can sell – and get paid for – many types of insurance and annuity products, without a broker-dealer relationship! If the goal is to sell fixed products, the solution is for an RIA to work with a Brokerage General Agency (BGA).