Winning the Game

While addressing challenges facing widespread adoption of in-plan guaranteed income solutions, the industry subject matter experts 401(k) Specialist interviewed for this article generally expressed optimism for significant progress in 2024.

Perhaps the best reason for optimism, QPA’s Eickman concludes, is that at least a couple of the nation’s largest recordkeepers have worked with outside guaranteed income solutions to bring non-proprietary solutions to their participants and will make those available before the end of 2024. “Those companies haven’t developed their own solutions with a revenue-producing mindset, but instead have concluded: ‘We need to have these in order to compete in tomorrow’s marketplace.’”

For Income America, Colangelo says 2024 is the year. “With over 5,000 plans adding us, and our solution being added to so many of the biggest and best recordkeepers, demand can now be met with actual available solutions, leading to significant utilization,” he said.

Allianz Life’s Gray cautions we are still in the early stages of the in-plan guaranteed income solutions game, but acknowledges progress is being made. “There is still a lot of work to do, but we are finally past the tipping point on this. The focus, commitment, and investment is there to make this idea finally materialize and key stakeholders are embracing it,” Gray said.

This year is about rising tides, Eickman added, “which will float the boats of all who have worked to develop modern, participant-first income solutions.”

• CLICK HERE to read this article as it appears in Issue 1 2024 of 401(k) Specialist Magazine.

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