Industry Awareness

Notice Regarding Annuity Sales to Seniors - Updated December 25, 2009

Requirements of Insurers and Insurance Agents in Annuity Sales to Seniors

Section 627.4554(4)(b)(d), Florida Statutes, requires a determination to be made about the suitability of an annuity when selling to individuals age 65 or older (“seniors”). The law also requires certain disclosures and an objective comparison of annuity contracts when recommending the exchange or replacement of a senior’s annuity.  Forms for this purpose have been adopted in Rule 69B-162.011, F.A.C., and became effective on December 25, 2009.

Links to the adopted forms are below and also available on our Forms page for future reference.

The department has approved an alternative version of the Disclosure and Comparison form that was officially adopted by rule 69B-162.011, F.A.C. The alternate form differs from the adopted form only in that the footnote “(List limitations, requirements, exclusions of the benefit)” has been placed in the line item box “Waiver of Surrender Charge Benefit or Similar Benefit?” to clarify that it is intended to apply only to that item. Either version of the form is acceptable.

• Disclosure and Comparison of Annuity Contracts ALTERNATE form
• Annuity Suitability Questionnaire form
• Disclosure and Comparison of Annuity Contracts form

If you have questions regarding your responsibilities in complying with the provisions of these forms, and to ensure a prompt and accurate response, e-mail us at askDFS@MyFloridaCFO.com. If you are unable to communicate by e-mail, you may call 850-413-5697.