The U.S. House passed a bill earlier this month, called the Senior Safe Act, which protects financial advisors from legal liability when they report suspicious activities to federal regulators.
From WealthManagement.com:
The Senior Safe Act of 2016 would protect financial institutions and advisors from legal liability if they disclose financial exploitation of senior citizens to a regulator.
An advisor would have to receive training on the identification and reporting of suspected elderly exploitation from their firm in order to be immune, the bill says.
The Financial Services Institute issued a statement, praising the passage of the bill; the group expects it to pass in the Senate as well.
“By providing civil and administrative immunity to financial services firms and advisors, the legislation would allow financial professionals to report potential abuse to government organizations, without violating privacy laws,” said FSI President and CEO Dale Brown, in a statement. “It also standardizes training to help identify and report instances of suspected abuse.”
FSI is currently looking for co-sponsors for the Senate version of the legislation. But the plan does not end there. Brown said, “We will continue to work on this legislation until the president signs it in order to better ensure seniors are protected from abuse.”
