Requirements for Annuity Sellers

PURPOSE: The purpose of this rule is to set out the requirements for annuity sellers who may bid to provide periodic prize payments to lottery winners. (1) To be eligible to contract with the director to provide periodic payments of a prize to a lottery winner through an annuity, the annuity company must meet the following requirements: (A) A policyholder or general rating of A+ as rated by A.M. Best; (B) A financial size rating of VIII or higher as rated by A.M. Best; (C) A portfolio quality rating of Excellent as rated by A.M. Best; (D) A minimum of seventy-five percent (75%) of the annuity company's gross revenues must be derived from the business of providing life, health and related products (not from the property and casualty business); and (E) The company must be headquartered in the United States. (F) The company must possess a current certificate of authority from the director of the Department of Insurance, Financial Institutions and Professional Registration to transact the business of insurance which authorizes the company to issue annuities. AUTHORITY: section 313.230, RSMo 2016.* Original rule filed Jan. 23, 1986, effective Feb. 1, 1986. Amended: Filed March 17, 1987, effective June 11, 1987. Amended: Filed July 15, 2014, effective Feb. 28, 2015. Amended: Filed Dec. 27, 2017, effective June 30, 2018. *Original authority: 313.230, RSMo 1985, amended 1988, 1990, 1993.