Description
This 1-hour course is designed to satisfy the training requirements of the state and NAIC Annuity Best Interest model regulation for producers who already have satisfied their 4-hour annuity training requirement. The focus of this course is an in-depth review of the new Best Interest standards for annuity transactions. This course discussed the evolution from suitability standards for annuity sales transactions to the current best interest standards. NAIC and FINRA regulation of the sale of annuities are reviewed. Annuity Best Interest model regulation. The course begins with the concepts of annuities. Then this course reviews types of annuities, compares annuities with other financial vehicles and reviews the income tax rules for annuities. This course concludes with the evolution from suitability standards for annuity sales transactions to the current best interest standards. NAIC and FINRA regulation of the sale of annuities are reviewed.
Learning Objectives
Understand your obligations and duties under the Best Interest standard in the NAIC Suitability in
Annuity Transactions
Model Regulation.
Describe the duties of insurance companies under the NAIC Model Regulation.
Discuss how producers and insurers should determine whether an annuity is suitable.
Highlight the supervision system that insurers must set up to ensure compliance with the model
regulation.
Stress the penalties imposed on producers and insurers for noncompliance with the regulation.
Discuss the importance of state guaranty associations.
Explain the annuity disclosure and replacement requirements.
Emphasize the producer annuity training requirements for selling annuities. Annuity Transactions Model Regulation.
Describe the duties of insurance companies under the NAIC Model Regulation.
Discuss how producers and insurers should determine whether an annuity is suitable.
Highlight the supervision system that insurers must set up to ensure compliance with the model
regulation.
Stress the penalties imposed on producers and insurers for noncompliance with the regulation.
Discuss the importance of state guaranty associations.
Explain the annuity disclosure and replacement requirements.
Emphasize the producer annuity training requirements for selling annuities.