David Lyons

  • 1990-1994 – Iowa Insurance Commissioner
  • But for now, Mr. Lyons said, “the public’s and the politicians’ perceptions of sales abuses have been so raised that people are ready to accept more radical approaches.”

1994 0308 – NYT – Regulators Seek Limits on Insurer Sales Pitches, by Michael Quint  —  [BonkNote]  —  [link]

  • Commissioner David Lyons (Iowa) asked Ms. Faucett to describe the quotation by her that had recently appeared in the New York Times.
    • She said she was quoted as saying that if you put 10 actuaries in a room you would get 40 conclusions about what the numbers they were examining meant. 
    • She thought it was important for buyers to see how the policy would work but the current approach of the working group would not allow that to happen.
    • Ms. Faucet responded that people spend more time buying a microwave than they do an insurance policy.
    • [Bonk: Ms. Faucett = Judy Faucett, Actuarial Consultant to the NAIC] 
    • <WishList – New York Times Article – ” 10 actuaries in a room”>

1994-1, NAIC Proceedings

  • (p187) – Senator Chuck GRASSLEY (R-IA) – Generally speaking, what has been the experience in the State of Iowa with regard to the problems of consumer disclosure of life insurance?
  • David Lyons, NAIC / Iowa Insurance Commissioner –  If I can be generic, we have had two major problems.
    • The first is a very specific problem, and that is the changing in the interest rates.
    • We have seen a large upsweep in the number of complaints exactly on point to the testimony that we have heard here today relating to the change in dividends and interest structures.
    • So we have had a lot of work to do in the area of determining whether there were intentional misstatements.
      • In that case, there are civil and administrative actions taken by us and criminal prosecutions referred on.
      • If there is an unintentional, yet identifiable, misleading statement made to consumers, then there is administrative action taken to put the consumer into the position they should have been under the information that was disclosed to them. 

1993 0525 – GOV (Senate) – When Will Policyholders Be Given The Truth About Life Insurance?, Howard Metzenbaum (D-OH)  —  [BonkNote]