Osaic, a prominent provider of wealth management solutions, has announced the integration of direct billing for select fee-based variable annuities on its platform, aiming to simplify annuity management and enhance operational efficiency for financial advisors and their clients.
Historically, fee-based variable annuities have necessitated additional administrative steps, such as establishing and maintaining separate managed investment accounts for fee processing. This new direct billing capability eliminates this burden by allowing annuity fees to be processed directly within the annuity product itself.
Previously, if a client did not possess an eligible linked account, advisors often had to identify additional investment management opportunities before placing annuity business. This supplementary step is no longer required with the new functionality.
According to Shannon Larson, Senior Vice President, Osaic Platform Management & Product Development, “We know financial professionals depend on us for solutions to help them manage their businesses and serve their clients as efficiently and as effectively as possible. This new functionality underscores our ongoing commitment to delivering solutions that power productivity and provide the flexibility to choose the investment products that best fit their clients’ needs. Equally important, we’re delivering these solutions with speed. Integrating these solutions aligns with our mission to lead with fee-based innovation.”
Direct billing is now accessible for eligible products through Osaic’s Annuity Submission Platform (ASP). This enhancement specifically supports select fee-based variable annuities and is part of a broader strategic initiative to expand annuity flexibility across the entire Osaic ecosystem.
Larson further stated, “This enhancement is about giving our financial professionals the tools to deliver truly integrated, transparent and tax-efficient solutions for their clients. Direct billing makes it easier to incorporate annuities into comprehensive financial plans without added complexity, which may ultimately lead to better outcomes and stronger client relationships.”
Based in Scottsdale, Arizona, Osaic, Inc., a portfolio company of Reverence Capital Partners, supports approximately 11,000 financial professionals, positioning itself as one of the nation’s largest providers of wealth management solutions.
