What authority must a variable annuity be registered with?

A variable annuity is considered a security and, therefore, must adhere to both federal and state regulations. For a variable annuity to be legally sold to the public, it must be registered with the Securities and Exchange Commission (SEC), which oversees securities markets and protects investors. Additionally, since variable annuities are insurance products, they must also be registered with the relevant state insurance commission. This dual registration ensures compliance with both insurance regulations and securities laws, thereby safeguarding investors and maintaining market integrity.

By requiring registration with both regulatory bodies, the framework helps ensure that consumers receive adequate risk disclosures and protections associated with investment products like variable annuities.