Agent Compliance with New Annuity Training Requirements in OAC 3901-6-13, Suitability of Annuity Sales

OHIO DEPARTMENT OF INSURANCE STATE OF OHIO # BULLETIN 2011-07 # AGENT COMPLIANCE WITH NEW ANNUITY TRAINING REQUIREMENTS IN OAC RULE 3901-6-13, SUITABILITY OF ANNUITY SALES Effective May 10, 2011 As of July 1, 2011, OAC Rule 3901-6-13 imposes a new one-time annuity-specific continuing education ("CE") requirement on insurance agents who engage in the sale, solicitation or negotiation of annuity products. This one-time requirement is in addition to the company provided product specific training required by OAC Rule 3901-6-13(G)(1). The one-time training requirement is as follows: 1. Insurance agents who hold a life insurance or variable annuity line of authority on July 1, 2011 and who desire to sell annuities shall complete four (4) hours of annuity-specific training, as specified in OAC Rule 3901-6-13(G)(2)(a) on or before January 1, 2012. 2. Insurance agents who hold a life insurance or variable annuity line of authority on July 1, 2011 but who do not complete the one-time annuity-specific training requirement before January 1, 2012 may not thereafter engage in the sale of annuities until that training has been completed. 3. Insurance agents who obtain a life or variable annuity line of authority after July 1, 2011 and who desire to sell annuities must complete the one-time annuity-specific training before they can begin selling annuities in Ohio. An Ohio resident insurance agent who completes the one-time annuity-specific training that has been approved in another state with laws substantially similar to Ohio's will be deemed to have complied with OAC Rule 3901-6-13(G)(2), even if the training was completed prior to adoption of OAC Rule 3901-6-13. An Ohio resident insurance agent who completes the one-time annuity-specific training will receive continuing education ("CE") credit only if the course was approved by ODI prior to the date the course was taken, and the provider submits a roster and all applicable fees to ODI. 50 W. Town Street, 3rd Floor, Suite 300 Columbus, Ohio 43215 Nonresident insurance agents who hold a life insurance or variable annuity line of authority in Ohio, and have completed the one-time annuity-specific training in another state with laws substantially similar to Ohio's will be deemed to have complied with OAC Rule 3901-6-13(G)(2). Mary Taylor, Lt. Governor, Director 50 W. Town Street, 3rd Floor, Suite 300 Columbus, Ohio 43215