NEW Model Regulation 275 Requirements in AR, ID, and MI Effective 06/29/21
Attention Arkansas, Idaho, and Michigan producers
NAIC Model Regulation 275 requires sales process changes:
Effective in Arkansas July 8, 2021 (training required before Jan. 1, 2022)
Effective in Idaho July 1, 2021 (training required before Jan. 1, 2022)
Effective in Michigan June 29, 2021 (training required before Dec. 29, 2021)
For all new business written in Arkansas, Idaho, and Michigan, a new annuity standard of care rule becomes effective on the dates listed above. This new “best interest” standard, which replaces the old suitability standard, includes several substantive changes to both producer obligations and supervising insurer obligations. These changes will impact the sales process — including new point-of-sale form requirements, producer disclosures, and documentation obligations.
We’ve developed a Compliance Blueprint to help you understand your new obligations and summarize the new business requirements. Included with the Compliance Blueprint is the Doing Business With North American Blueprint. This Doing Business Blueprint is intended to be a “cheat sheet” of sorts for you to refer back to as you are getting comfortable with your new compliance obligations.
The following video from Kevin Mechtley, Vice President-Legal & Director of Government Affairs, focuses on the model itself. There may be slight state variations so watch your email for notifications.
Microsite
Our microsite offers resources you’ll need to navigate the new regulation.
Resources
Find training resources through these industry training sites; RegEd and LIMRA.
To avoid delays in your business, complete training by the dates below and send us certification that you’ve taken training.
Arkansas: Complete training before Jan. 1, 2022
Idaho: Complete training before Jan. 1, 2022
Michigan: Complete training before Dec. 29, 2021
Required forms
(also found on our microsite)
NEW in AR, ID, MI – Best Interest Attestation Form
NEW in AR, ID, MI – Producer Disclosure Form
Consumer Profile Form (effective Jan. 1, 2021)
Comparison and Disclosure Form (effective Jan. 1, 2021)
(No change to the current AR, FL, NV comparison forms)