NAIC Model Reg Updates for Iowa, Arizona, and Arkansas

Grace period expiring for 1-hour Best interest training for annuities sold in Arizona and Iowa

Back in December, we communicated that Arizona and Iowa had adopted the new NAIC Suitability Model Regulation effective January 1, 2021.  As part of that adoption, state training requirements were expanded to include the new Best Interest Standard of Care in sales practices.

Financial professionals who completed the prior version of the NAIC Model Regulation 4-hour training, must complete either a new one-time 1-hour course, or a new one-time 4-hour course within six months of the effective date before selling annuities. The grace period for completing the 1-hour Best Interest course for annuities sold in Arizona and Iowa expires on June 30. Any financial professional who hasn’t completed the 1-hour Best Interest training course before July 1 will need to complete the new NAIC 4-hour Best Interest training course prior to the sale of any annuities sold after July 1, 2021. Financial professionals appointed after January 1, 2021 were already required to complete the 4-hour Best Interest training course prior to any annuity sale.

Arkansas amends training dates

Previously we communicated that Arkansas had adopted the new NAIC model reg effective April 1, 2021. This date has now been amended to 01/01/2022. No product or state training will be required until 01/01/2022. A reminder communication will be sent out closer to this new date.