Course DescriptionIn February 2020, the National Association of Insurance Commissioners (NAIC) approved revisions to its Suitability in Annuity Transactions Model Regulation (#275). The revised regulation requires that all annuity recommendations by producers and insurers meet a "best interest" standard. The new regulations requires all veteran insurance agents who previously qualified to sell annuities under their state's version of the NAIC annuity suitability regulation may take a one-hour update course to qualify to sell annuities under the new NAIC best-interest standard. This course meets that requirement. This course details the standard of care agents must adhere to when recommending annuities to clients. It discusses the fact finding and analysis required to make a recommendation that is in the best interest of the client. It discusses conflicts of interests, disclosures to clients, and documentation.
Learning ObjectivesUpon completion of this course, you will be able to:
- Describe what the regulation means by "best interest standard"
- Determine how producers can meet the best interest standard
- Disclose the associated producer obligations that pertain to care, disclosure, conflicts of interest, and documentation
- List the requirements that insurers have to create and maintain a system of supervision to ensure compliance with the model regulation
- Identify the types of financial professionals who may qualify for a "safe harbor" exemption to the NAIC's model regulation and the comparable standards they have to meet
|State Insurance Credit|
|Credit Type:||Annuity Best Interest|
|Provider:||Broker Educational Sales & Training, Inc.|
|Monitored:||Yes - Virtual proctors will be permitted or if a virtual proctor is not feasible the proctor requirement will be eliminated for all approved online courses|