P.R. Laws tit. 26, § 4208
(1) The solicitation, negotiation, acquisition or subscription of annuity contracts shall be done directly by the charitable organization, its officers, salaried employees, and volunteers, and not by agents or other intermediaries.
(2) The charitable organizations mentioned in §§ 4201–4210 of this title, shall submit a list of all the persons who shall solicit, negotiate, obtain and subscribe annuity contracts, before the Commissioner, certifying that they have the necessary training and knowledge to carry out these tasks. Any changes or additions to the list shall be reported to the Commissioner within fifteen (15) days following the effectiveness of said additions or changes.
(3) Before accepting any property that is transferred to the charitable organization in exchange for an annuity contract, the organization shall obtain a sworn statement signed by the potential donor attesting to the following terms of the contract:
(a) The value of the transferred property.
(b) The amount of the periodic payments of the annuity contract.
(c) The manner that the payments are to be paid and the intervals for the payments.
(d) The fair value of the benefits created as of the date of the agreement.
(e) The date the payments shall begin.
(4) In addition to the above statements, the charitable organization shall obtain a written statement from the potential donor attesting that it has been informed that the payments made under the annuity contract are solely guaranteed by the full faith and credit of the organization; are not guaranteed or insured by an insurer; are not protected in any way by surety associations; and are not backed in any way by the Government of Puerto Rico.
(5) The requirements of subsections (3) and (4) of this section may be fulfilled by a recognition that is a part of the annuity contract that is signed by the donor.
History —Ins. Code, added as § 42.080 on Aug. 12, 1999, No. 230, § 2.