Draft of updated 2024 VIP taxonomy now available

Posted on September 20, 2024 by Editor

The US Securities and Exchange Commission (SEC) has released a draft of the updated 2024 Variable Insurance Product (VIP) Taxonomy. This update follows the SEC's adoption of rules amending Form N-4, which is now required for issuers of Registered Index-Linked Annuities (RILAs) and Registered Market Value Adjustment (MVA) Annuities to register offerings. The draft taxonomy, essential for tagging specific data in Inline XBRL format, is now available for public review.

The new rule, adopted as part of the 2023 Consolidated Appropriations Act, extends registration, filing, and disclosure requirements to RILAs and MVA annuities, ensuring that these products meet the same reporting standards as other variable annuities. Issuers must now electronically file using iXBRL within the SEC's EDGAR system. This makes financial disclosures for these products more transparent and machine-readable, helping to modernise the data reporting process.

These changes continue the SEC's broader efforts to enhance financial reporting for insurance products, particularly through the adoption of digital reporting standards.. By expanding Form N-4 requirements, the SEC is improving both data quality and accessibility for investors and regulators alike.

To explore the draft taxonomy and learn more, visit the SEC's official taxonomy page here.