Section 41-1940C - ANNUITY CONSUMER PROTECTION - PRODUCER TRAINING(1) A producer shall not solicit the sale of an annuity product unless the producer has adequate knowledge of the product to recommend the annuity and the producer is in compliance with the insurer's standards for product training. A producer may rely on insurer-provided product-specific training standards and materials to comply with this subsection.(2) A producer who engages in the sale of annuity products shall complete a onetime four (4) credit training course approved by the department and provided by the department-approved education provider. Individuals who obtain a life insurance line of authority on or after July 1, 2021, may not engage in the sale of annuities until the annuity training course required under this section has been completed.(a) The minimum length of the training required under this subsection shall be sufficient to qualify for at least four (4) continuing education credits but may be longer.(b) The training required under this subsection shall include information on the following topics: (i) The types of annuities and various classifications of annuities;(ii) Identification of the parties to an annuity;(iii) How product-specific annuity contract features affect consumers;(iv) The application of income taxation of qualified and nonqualified annuities; (v) The primary uses of annuities; and(vi) Appropriate standard of conduct, sales practices, replacement, and disclosure requirements. (c) Providers of courses intended to comply with this subsection shall cover all topics listed in the prescribed outline and shall not present any marketing information or provide training on sales techniques or provide specific information about a particular insurer's products. Additional topics may be offered in conjunction with and in addition to the required outline.(d) A provider of an annuity training course intended to comply with this subsection shall register as a continuing education provider in this state and comply with the rules and guidelines applicable to producer continuing education courses as set forth by the department.(e) A producer who has completed an annuity training course approved by the department of insurance prior to July 1, 2021, shall, within six (6) months after July 1, 2021, complete either:(i) A new four (4) credit training course approved by the department of insurance after July 1, 2021; or(ii) An additional onetime one (1) credit training course approved by the department and provided by the department-approved education provider on appropriate sales practices, replacement, and disclosure requirements under the annuity consumer protections act.(f) Providers of annuity training shall comply with the reporting requirements and shall issue certificates of completion as set forth by the department.(g) The satisfaction of the training requirements of another state that are substantially similar to the provisions of this subsection shall be deemed to satisfy the training requirements of this subsection in this state.(h) The satisfaction of the components of the training requirements of any course or courses with components substantially similar to the provisions of this subsection shall be deemed to satisfy the training requirements of this subsection in this state.(i) An insurer shall verify that a producer has completed the annuity training course required under this subsection before allowing the producer to sell an annuity product for that insurer. An insurer may satisfy its responsibility under this subsection by obtaining certificates of completion of the training course or obtaining reports provided by director-sponsored database systems or vendors or from a reasonably reliable commercial database vendor that has a reporting arrangement with approved insurance education providers.[41-1940C, added 2021, ch. 41, sec. 5, p. 119.]Added by 2021 Session Laws, ch. 41,sec. 5, eff. 7/1/2021.