A bill for an act relating to the applicability of the standard nonforfeiture law for individual deferred annuities to contingent deferred annuities.

This bill modifies Iowa's insurance code to clarify that standard nonforfeiture benefits (which protect policyholders' savings if a policy lapses) do not automatically apply to contingent deferred annuities. It directly affects insurance companies selling these specific annuity products and their policyholders. The key provision exempts contingent deferred annuities from most nonforfeiture rules, but allows Iowa's Insurance Commissioner to create tailored rules ensuring equitable benefits for policyholders, appropriate risk coverage, and alignment with the law's overall purpose. This change streamlines regulatory requirements for a specific annuity type while preserving commissioner oversight.