Insurers Press U.S. to Let Employers Offer Annuities

It should be easier for employers to include annuities in their retirement plans because Americans are at risk of outliving their savings, insurers told Labor and Treasury department officials today.

The government should extend and clarify “safe harbor” protection, which exempts employers from liability, so they can add annuities as an option in 401(k) retirement plans, said Christine Marcks, president of retirement at Prudential Financial Inc., based in Newark, New Jersey, at a hearing in Washington. Annuities also should be permitted as a default investment, Marcks said.