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Important Changes for All Resident Life Agents

The Florida Legislature took action during the 2008 legislative session to strengthen regulation of annuity sales to seniors.

SB 2082 created a new continuing education requirement for all resident life insurance agents effective January 1, 2009.

Section 626.2815, Florida Statutes -- Continuing education required; application; exceptions; requirements; penalties.
(3)(k) Any person who holds a license to solicit or sell life insurance in this state must complete a minimum of 3 hours in continuing education, approved by the department, on the subject of suitability in annuity and life insurance transactions.   A licensee may use the hours obtained under this paragraph to satisfy the requirement for continuing education in ethics under paragraph (a).

What does this mean to you?

If your continuing education compliance period ends January 31, 2009, or after, you must meet the new requirement by the end of your compliance period.   If your compliance period ends in January or February, you must act quickly to take your 3 hours of senior suitability education.   If you have already taken hours in ethics, you will not lose credit for these hours; they will be applied to your general continuing education requirement or carried over to your next compliance period.

A new course authority, "CE 9911 - Senior Suitability", has been created by the Department.

Central Insurance School  now provides a course approved under this new authority number,
CE 1312 - Insurance Suitability.

This "Suitability" course explores the purpose and effect of new legislation on the suitability of annuity and life contracts sold to seniors.   We will look at court case decisions on ethical conduct, determining reasonable recommendations and suitability of coverage for sales to the insured.   Emphasis will be placed on policy types, features and disclosures, and considerations based on future financial impacts to the potential clients and insureds.

What else is happening in the regulation of annuity sales?

Florida's Chief Financial Officer Alex Sink recently created the "Safegaurd our Seniors" (SOS) Task Force to review and recommend solutions to better protect Florida seniors against financial fraud.   The task force's immediate focus os on annuity fraud.   One of the ideas being discussed by the SOS Task Force is more aggressive education of the public, including the agents who sell these proiducts.   See the SOS website for more information.

Safeguard our Seniors
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