reglab/statecodes huggingface dataset:
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 3 - Life Insurance Disclosure (formerly Insurance Regulation 27) (230-RICR-20-25-3) › Section 230-RICR-20-25-3.7 - Failure to Comply

Current through June 14, 2024
Failure of an insurer to provide or deliver a Buyer's
					 Guide, an in-force illustration, a Policy Summary or policy data as provided in
					 §
										3.5   of this Part shall constitute an omission which misrepresents the
					 benefits, advantages, conditions or terms of an insurance
					 policy.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.1 - Authority

Current through June 14, 2024
This Part is adopted pursuant to R.I. Gen. Laws
					 §§
										27-4-23,
					 27-29-4.7 and
					 27-29-12.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.2 - Purpose

Current through June 14, 2024
A. The purpose of this Part is:
1. To regulate the activities of insurers and
				  producers with respect to the replacement of existing life insurance and
				  annuities;
2. To protect the
				  interests of life insurance policyholders and annuity purchasers by
				  establishing minimum standards of conduct to be observed in the replacement or
				  financed purchase transactions. It will:
a.
				  Assure that purchasers receive information with which a decision can be made in
				  his or her own best interest;
b.
				  Reduce the opportunity for misrepresentation and incomplete disclosure;
				  and
c. Establish penalties for
				  failure to comply with the requirements of this Part.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.5 - Duties of Insurers that Use Producers

Current through June 14, 2024
A. Each
				  insurer shall:
1. Maintain a system of
				  supervision and control to insure compliance with the requirements of this Part
				  that shall include at least the following:
a.
				  Inform its producers of the requirements of this Part and incorporate the
				  requirements of this Part into all relevant producer training manuals prepared
				  by the insurer;
b. Provide to each
				  producer a written statement of the company's position with respect to the
				  acceptability of replacements providing guidance to its producer as to the
				  appropriateness of these transactions;
c. A system to review the appropriateness of
				  each replacement transaction that the producer does not indicate is in accord
				  with §
												4.5(A)(1)(b)   of this Part above;
d. Procedures to confirm that the
				  requirements of this Part have been met; and
e. Procedures to detect transactions that are
				  replacements of existing policies or contracts by the existing insurer, but
				  that have not been reported as such by the applicant or producer. Compliance
				  with this Part may include, but shall not be limited to, systematic customer
				  surveys, interviews, confirmation letters, or programs of internal
				  monitoring;
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.6 - Duties of Replacing Insurers that Use Producers

Current through June 14, 2024
A. Where a replacement is involved in the
				  transaction, the replacing insurer shall:
1.
				  Verify that the required forms are received and are in compliance with this
				  Part;
2. Notify any other existing
				  insurer that may be affected by the proposed replacement within five (5)
				  business days of receipt of a completed application indicating replacement or
				  when the replacement is identified if not indicated on the application, and
				  mail a copy of the available illustration or policy summary for the proposed
				  policy or available disclosure document for the proposed contract within five
				  (5) business days of a request from an existing insurer;
3. Be able to produce copies of the
				  notification regarding replacement required in §
											4.4(B)   of this Part,
				  indexed by producer, for at least five (5) years or until the next regular
				  examination by the insurance department of a company's state of domicile,
				  whichever is later; and
4. Provide
				  to the policy or contract owner notice of the right to return the policy or
				  contract within thirty (30) days of the delivery of the contract and receive an
				  unconditional full refund of all premiums or considerations paid on it,
				  including any policy fees or charges or, in the case of a variable or market
				  value adjustment policy or contract, a payment of the cash surrender value
				  provided under the policy or contract plus the fees and other charges deducted
				  from the gross premiums or considerations or imposed under such policy or
				  contract; such notice may be included in Appendix A or C which have been
				  included in a bulletin issued for that purpose and available on the
				  Department's website.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.7 - Duties of the Existing Insurer

Current through June 14, 2024
A. Where a
				  replacement is involved in the transaction, the existing insurer shall:
1. Retain and be able to produce all
				  replacement notifications received, indexed by replacing insurer, for at least
				  five (5) years or until the conclusion of the next regular examination
				  conducted by the Insurance Department of its state of domicile, whichever is
				  later.
2. Send a letter to the
				  policy or contract owner of the right to receive information regarding the
				  existing policy or contract values including, if available, an in-force
				  illustration or policy summary if an in-force illustration cannot be produced
				  within five (5) business days of receipt of a notice that an existing policy or
				  contract is being replaced. The information shall be provided within five (5)
				  business days of receipt of the request from the policy or contract
				  owner.
3. Upon receipt of a request
				  to borrow, surrender or withdraw any policy values, send a notice, advising the
				  policy owner that the release of policy values may affect the guaranteed
				  elements, non-guaranteed elements, face amount or surrender value of the policy
				  from which the values are released. The notice shall be sent separate from the
				  check if the check is sent to anyone other than the policy owner. In the case
				  of consecutive automatic premium loans, the insurer is only required to send
				  the notice at the time of the first loan.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.8 - Duties of Insurer with Respect to Direct Response Solicitations

Current through June 14, 2024
A. In the case of an application that is
				  initiated as a result of a direct response solicitation, the insurer shall
				  require, with or as part of each completed application for a policy or
				  contract, a statement asking whether the applicant, by applying for the
				  proposed policy or contract, intends to replace, discontinue or change an
				  existing policy or contract. If the applicant indicates a replacement or change
				  is not intended or if the applicant fails to respond to the statement, the
				  insurer shall send the applicant, with the policy or contract, a notice
				  regarding replacement in Appendix B which has been included in a bulletin
				  issued for that purpose and available on the Department's website, or other
				  substantially similar form approved by the Director.
B. If the insurer has proposed the
				  replacement or if the applicant indicates a replacement is intended and the
				  insurer continues with the replacement, the insurer shall:
1. Provide to applicants or prospective
				  applicants with the policy or contract a notice, as described in Appendix C
				  which has been included in a bulletin issued for that purpose and available on
				  the Department's website, or other substantially similar form approved by the
				  commissioner. In these instances the insurer may delete the references to the
				  producer, including the producer's signature, and references not applicable to
				  the product being sold or replaced, without having to obtain approval of the
				  form from the Director. The insurer's obligation to obtain the applicant's
				  signature shall be satisfied if it can demonstrate that it has made a diligent
				  effort to secure a signed copy of the notice referred to in this paragraph. The
				  requirement to make a diligent effort shall be deemed satisfied if the insurer
				  includes in the mailing a self-addressed postage prepaid envelope with
				  instructions for the return of the signed notice referred to in this section;
				  and
2. Comply with the requirements
				  of §
											4.6(A)(2), if the applicant furnishes the names of the existing
				  insurers, and the requirements of §§
											4.6(A)(3),  4.6(A)(4)  and
				   4.6(B).
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.9 - Twisting and Churning Practices

Current through June 14, 2024
A. Any replacement
				  of a life insurance policy that involves fraud, deception or misrepresentation
				  is prohibited regardless of whether the transaction falls within the provisions
				  of R.I. Gen. Laws §
										27-29-4.7. In addition, the
				  following applies to transactions in which R.I. Gen. Laws §
										27-29-4.7 is applicable:
1. Replacements of policies that constitute
				  twisting or churning are in violation of R.I. Gen. Laws §
											27-29-4.7.
2. Insurers to which the Part applies must
				  adopt written procedures consistent with R.I. Gen. Laws §
											27-29-4.7 no later than July 1,
				  2013.
3. The fact that written
				  procedures have not been finalized or adopted does not alter the requirement
				  that replacement sales must not constitute twisting or churning.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.10 - Violations and Penalties

Current through June 14, 2024
A. Any failure to
				  comply with this Part shall be considered a violation of R.I. Gen. Laws Chapter
				  27-29. Examples of violations include:
1. Any
				  deceptive or misleading information set forth in sales material;
2. Failing to ask the applicant in completing
				  the application the pertinent questions regarding the possibility of financing
				  or replacement;
3. The intentional
				  incorrect recording of an answer;
4. Advising an applicant to respond
				  negatively to any question regarding replacement in order to prevent notice to
				  the existing insurer; or
5.
				  Advising a policy or contract owner to write directly to the company in such a
				  way as to attempt to obscure the identity of the replacing producer or
				  company.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 4 - Life Insurance and Annuities Replacement (formerly Insurance Regulation 29) (230-RICR-20-25-4) › Section 230-RICR-20-25-4.11 - Severability

Current through June 14, 2024
If any section or provision of a section of this Part, or
					 its applicability to any person or circumstances, is held invalid by a court,
					 the remainder of this Part, or the applicability of its provisions to other
					 persons, shall not be affected.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.1 - Authority

Current through June 14, 2024
This regulation is promulgated in accordance with R.I. Gen.
					 Laws §
										27-29-1 et seq. and
					 42-14-17.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.2 - Purpose

Current through June 14, 2024
The purpose of this regulation is to set forth minimum
					 standards and guidelines to assure a full and truthful disclosure to the public
					 of all material and relevant information in the advertising of life insurance
					 policies and annuity contracts.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.3 - Definitions

Current through June 14, 2024
A. As used in this Regulation:
1. "Advertisement" shall mean material
				  designed to create public interest in life insurance or annuities or in an
				  insurer, or in an insurance producer; or to induce the public to purchase,
				  increase, modify, reinstate, borrow on, surrender, replace or retain a policy
				  including:
a. Printed and published material,
				  audiovisual material and descriptive literature of an insurer or insurance
				  producer used in direct mail, newspapers, magazines, radio and television
				  scripts, telemarketing scripts, billboards and similar displays, and the
				  Internet or any other mass communication media.
b. Descriptive literature and sales aids of
				  all kinds, authored by the insurer, its insurance producers, or third parties,
				  issued, distributed or used by the insurer or insurance producer; including but
				  not limited to circulars, leaflets, booklets, web pages, depictions,
				  illustrations and form letters;
c.
				  Material used for the recruitment, training and education of an insurer's
				  insurance producers which is designed to be used or is used to induce the
				  public to purchase, increase, modify, reinstate, borrow on, surrender, replace
				  or retain a policy;
d. Prepared
				  sales talks, presentations and materials for use by insurance
				  producers.
e. "Advertisement" for
				  the purpose of this regulation shall not include:
f. Communications or materials used within an
				  insurer's own organization and not intended for dissemination to the
				  public;
g. Communications with
				  policyholders other than material urging policyholders to purchase, increase,
				  modify, reinstate or retain a policy; and
h. A general announcement from a group or
				  blanket policyholder to eligible individuals on an employment or membership
				  list that a policy or program has been written or arranged; provided the
				  announcement clearly indicates that it is preliminary to the issuance of a
				  booklet explaining the proposed coverage.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.4 - Applicability

Current through June 14, 2024
A. This regulation shall apply to any life
				  insurance or annuity advertisement intended for dissemination in this state. In
				  variable contracts where disclosure requirements are established pursuant to
				  federal regulation, this regulation shall be interpreted so as to eliminate
				  conflict with federal regulation.
B. All advertisements, regardless of by whom
				  written, created, designed or presented, shall be the responsibility of the
				  insurer, as well as the producer who created or presented the advertisement.
				  Insurers shall establish and at all times maintain a system of control over the
				  content, form and method of dissemination of all advertisements of its
				  policies. A system of control shall include regular and routine notification,
				  at least once a year, to agents, brokers and others authorized by the insurer
				  to disseminate advertisements of the requirement and procedures for company
				  approval prior to the use of any advertisements that is not furnished by the
				  insurer and that clearly sets forth within the notice the most serious
				  consequence of not obtaining the required prior approval.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.5 - Form and Content of Advertisements

Current through June 14, 2024
A.
				  Advertisements shall be truthful and not misleading in fact or by implication.
				  The form and content of an advertisement of a policy shall be sufficiently
				  complete and clear so as to avoid deception. It shall not have the capacity or
				  tendency to mislead or deceive. Whether an advertisement has the capacity or
				  tendency to mislead or deceive shall be determined by the Commissioner of
				  Insurance from the overall impression that the advertisement may be reasonably
				  expected to create upon a person of average education or intelligence within
				  the segment of the public to which it is directed.
B. No advertisement shall use the terms
				  "investment," "investment plan," "founder's plan," "charter plan," "deposit,"
				  "expansion plan," "profit," "profits," "profit sharing," "interest plan,"
				  "savings," "savings plan," "private pension plan," "retirement plan" or other
				  similar terms in connection with a policy in a context or under such
				  circumstances or conditions as to have the capacity or tendency to mislead a
				  purchaser or prospective purchaser of such policy to believe that he will
				  receive, or that it is possible that he will receive, something other than a
				  policy or some benefit not available to other persons of the same class and
				  equal expectation of life.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.7 - Identity of Insurer

Current through June 14, 2024
A. The name of the
				  insurer shall be clearly identified in all advertisements about the insurer or
				  its products, and if any specific individual policy is advertised it shall be
				  identified either by form number or other appropriate description. If an
				  application is a part of the advertisement, the name of the insurer shall be
				  shown on the application. However, if an advertisement contains a listing of
				  rates or features that is a composite of several different policies or
				  contracts of different insurers, the advertisement shall so state, shall
				  indicate, if applicable, that not all policies or contracts on which the
				  composite is based may be available in all states, and shall provide a rating
				  of the lowest rated insurer and reference the rating agency, but need not
				  identify each insurer. If an advertisement identifies the issuing insurers,
				  insurance issuer ratings need not be stated.
B. An advertisement shall not use a trade
				  name, an insurance group designation, name of the parent company of the
				  insurer, name of a particular division of the insurer, a reinsurer of the
				  insurer, service mark, slogan, symbol or other device or reference without
				  disclosing the name of the insurer, if the advertisement would have the
				  capacity or tendency to mislead or deceive as to the true identity of the
				  insurer or create the impression that a company other than the insurer would
				  have any responsibility for the financial obligation under a policy.
C. An advertisement shall not use any
				  combination of words, symbols or physical materials that by their content,
				  phraseology, shape, color or other characteristics are so similar to a
				  combination of words, symbols or physical materials used by a governmental
				  program or agency or otherwise appear to be of such a nature that they tend to
				  mislead prospective insureds into believing that the solicitation is in some
				  manner connected with a governmental program or agency.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.8 - Jurisdictional Licensing and Status of Insurer

Current through June 14, 2024
A. An
				  advertisement that is intended to be seen or heard beyond the limits of the
				  jurisdiction in which the insurer is licensed shall not imply licensing beyond
				  those limits.
B. An advertisement
				  may state that an insurer or insurance producer is licensed in a particular
				  state or states, provided it does not exaggerate that fact or suggest or imply
				  that competing insurers or insurance producers may not be so
				  licensed.
C. An advertisement shall
				  not create the impression that the insurer, its financial condition or status,
				  the payment of its claims or the merits, desirability, or advisability of its
				  policy forms or kinds of plans of insurance are recommended or endorsed by any
				  governmental entity. However, where a governmental entity has recommended or
				  endorsed a policy form or plan, that fact may be stated if the entity
				  authorizes its recommendation or endorsement to be used in an
				  advertisement.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.9 - Statements About the Insurer

Current through June 14, 2024
An advertisement shall not contain statements, pictures or
					 illustrations that are false or misleading, in fact or by implication, with
					 respect to the assets, liabilities, insurance in force, corporate structure,
					 financial condition, age or relative position of the insurer in the insurance
					 business. An advertisement shall not contain a recommendation by any commercial
					 rating system unless it clearly defines the scope and extent of the
					 recommendation including, but not limited to, the placement of insurer's rating
					 in the hierarchy of the rating system cited.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.10 - Enforcement Procedures

Current through June 14, 2024
A. Each insurer
				  shall maintain at its home or principal office a complete file containing a
				  specimen copy of every printed, published or prepared advertisement of its
				  individual policies and specimen copies of typical printed, published or
				  prepared advertisements of its blanket, franchise and group policies, hereafter
				  disseminated in this state, with a notation indicating the manner and extent of
				  distribution and the form number of any policy advertised. The file shall be
				  subject to inspection by the department. All advertisements shall be maintained
				  in the file for a period of five (5) years after discontinuance of its use or
				  publication.
B. If the commissioner
				  determines that an advertisement has the capacity or tendency to mislead or
				  deceive the public, the commissioner may require an insurer or insurance
				  producer to submit all or any part of the advertising material for review or
				  approval prior to use.
C. Each
				  insurer subject to the provisions of this regulation shall file with the
				  commissioner with its annual statement a certificate of compliance executed by
				  an authorized officer of the insurer stating that to the best of his or her
				  knowledge, information and belief the advertisements that were disseminated by
				  or on behalf of the insurer in this state during the preceding statement year,
				  or during the portion of the year when these rules were in effect, complied or
				  were made to comply in all respects with the provisions of these rules and the
				  insurance laws of this state as implemented and interpreted by this
				  regulation.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.11 - Penalties

Current through June 14, 2024
An insurer or its officer, directors, producers or
					 employees that violate any of the provisions of this regulation, or knowingly
					 participate in or abet such violation, shall be subject to administrative
					 penalties in accordance with R.I. Gen. Laws §
										42-14-16.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.12 - Conflict With Other Laws or Regulations

Current through June 14, 2024
It is not intended that this regulation conflict with or
					 supersede any regulations currently in force or subsequently adopted in this
					 state governing specific aspects of the sale or replacement of life insurance
					 including, but not limited to, laws or regulations dealing with life insurance
					 cost comparison indices, deceptive practices in the sale of life insurance,
					 replacement of life insurance policies, illustration of life insurance
					 policies, and annuity disclosure. Consequently, no disclosure pursuant to or
					 required under those regulations shall be deemed to be an advertisement within
					 the meaning of this regulation.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 5 - Advertisements of Life Insurance and Annuities (230-RICR-20-25-5) › Section 230-RICR-20-25-5.13 - Severability

Current through June 14, 2024
If any provision of this Regulation or the application
					 thereof to any person or circumstances is held invalid or unconstitutional, the
					 invalidity or unconstitutionality shall not affect other provisions or
					 applications of this Regulation which can be given effect without the invalid
					 or unconstitutional provision or application, and to this end the provisions of
					 this Regulation are severable.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.1 - Authority

Current through June 14, 2024
This Part is promulgated in accordance with R.I. Gen. Laws
					 Chapter 27-29.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.2 - Applicability and Scope

Current through June 14, 2024
A. This Part
				  applies to all group and individual annuity contracts and certificates except:
1. Immediate and deferred annuities that
				  contain no non-guaranteed elements;
2. Annuities used to fund:
a. An employee pension plan which is covered
				  by the Employee Retirement Income Security Act (ERISA);
b. A plan described by Sections  401(a),
				   401(k)  or  403(b)   of the Internal Revenue Code (26 U.S.C. §
													401(a),
				  401(k) or
				  403(b)), where
				  the plan, for purposes of ERISA, is established or maintained by an
				  employer;
c. A governmental or
				  church plan defined in Section  414   or a deferred compensation plan of a state
				  or local government or a tax-exempt organization under Section  457   of the
				  Internal Revenue Code (26
				  U.S.C. §
													457); or
d. A nonqualified deferred compensation
				  arrangement established or maintained by an employer or plan
				  sponsor.
3.
				  Notwithstanding §
											6.2(A)(2)   of this Part, the Part shall apply to annuities
				  used to fund a plan or arrangement that is funded solely by contributions an
				  employee elects to make whether on a pre-tax or after-tax basis, and where the
				  insurance company has been notified that plan participants may choose from
				  among two (2) or more fixed annuity providers and there is a direct
				  solicitation of an individual employee by a producer for the purchase of an
				  annuity contract. As used in this subsection, direct solicitation shall not
				  include any meeting held by a producer solely for the purpose of educating or
				  enrolling employees in the plan or arrangement;
4. Non-registered variable annuities issued
				  exclusively to an accredited investor or qualified purchaser as those terms are
				  defined by the Securities Act of 1933 (15 U.S.C. §
												77a
et
				  seq
.), the Investment Company Act of 1940 (15 U.S.C. §
												80a-1
et seq
.), or the
				  regulations promulgated under either of those acts, and offered for sale and
				  sold in a transaction that is exempt from registration under the Securities Act
				  of 1933 (15 U.S.C. §
												77a
et seq
.).
5. Transactions involving variable annuities
				  and other registered products in compliance with Securities and Exchange
				  Commission (SEC) rules and Financial Industry Regulatory Authority (FINRA)
				  rules relating to disclosures and illustrations.
a. Notwithstanding §
												6.2(A)(5)   of this
				  Part, the delivery of the Buyer's Guide is required in sales of variable
				  annuities, and when appropriate, in sales of other registered
				  products.
b. Nothing in this
				  subsection shall limit the commissioner's ability to enforce the provisions of
				  this Part or to require additional disclosure.
6. Structured settlement annuities;
7. Charitable gift annuities; and
8. Funding agreements.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.3 - Purpose

Current through June 14, 2024
The purpose of this Part is to provide standards for the
					 disclosure of certain minimum information about annuity contracts to protect
					 consumers and foster consumer education. The Part specifies the minimum
					 information which must be disclosed, the method for disclosing it and the use
					 and content of illustration, if used, in connection with the sale of annuity
					 contracts. The goal of this Part is to ensure that purchasers of annuity
					 contracts understand certain basic features of annuity
					 contracts
.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.5 - Standards for the Disclosure Document and Buyer's Guide

Current through June 14, 2024
A. Where the application for an annuity
				  contract is taken in a face-to-face meeting, the applicant shall at or before
				  the time of application be given both the disclosure document described in
				  §
										6.5(C)   of this Part and the Buyer's Guide, if any.
B. Where the application for an annuity
				  contract is taken by means other than in a face-to-face meeting, the applicant
				  shall be sent both the disclosure document and the Buyer's Guide no later than
				  five (5) business days after the completed application is received by the
				  insurer.
1. With respect to an application
				  received as a result of a direct solicitation through the mail:
a. Providing a Buyer's Guide in a mailing
				  inviting prospective applicants to apply for an annuity contract shall be
				  deemed to satisfy the requirement that the Buyer's Guide be provided no later
				  than five (5) business days after receipt of the application.
b. Providing a disclosure document in a
				  mailing inviting a prospective applicant to apply for an annuity contract shall
				  be deemed to satisfy the requirement that the disclosure document be provided
				  no later than five (5) business days after receipt of the
				  application.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.6 - Standards for Annuity Illustrations

Current through June 14, 2024
A. An insurer or
				  producer may elect to provide a consumer an illustration at any time, provided
				  that the illustration is in compliance with this section and:
1. Clearly labeled as an
				  illustration;
2. Includes a
				  statement referring consumers to the disclosure document and Buyer's Guide
				  provided to them at time of purchase for additional information about their
				  annuity; and
3. Is prepared by the
				  insurer or third party using software that is authorized by the insurer prior
				  to its use, provided that the insurer maintains a system of control over the
				  use of illustrations.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.7 - Report to Contract Owners

Current through June 14, 2024
A. For annuities in
				  the payout period that include non-guaranteed elements and for deferred
				  annuities in the accumulation period, the insurer shall provide each contract
				  owner with a report, at least annually, on the status of the contract that
				  contains at least the following information:
1. The beginning and end date of the current
				  report period;
2. The accumulation
				  and cash surrender value, if any, at the end of the previous report period and
				  at the end of the current report period;
3. The total amounts, if any, that have been
				  credited, charged to the contract value or paid during the current report
				  period; and
4. The amount of
				  outstanding loans, if any, as of the end of the current report
				  period.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.8 - Penalties

Current through June 14, 2024
In addition to any other penalties provided by the laws of
					 this state including those under R.I. Gen. Laws §
										42-14-16, an insurer or producer
					 that violates a requirement of this Part shall be guilty of a violation of R.I.
					 Gen. Laws Chapter 27-29.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 6 - Annuity Disclosure › Section 230-RICR-20-25-6.9 - Severability

Current through June 14, 2024
If any provision of this Part or the application thereof to
					 any person or circumstances is held invalid or unconstitutional, the invalidity
					 or unconstitutionality shall not affect other provisions or applications of
					 this Part which can be given effect without the invalid or unconstitutional
					 provision or application, and to this end the provisions of this Part are
					 severable.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.1 - Purpose

Current through June 14, 2024
The purpose of this Regulation is to provide rules for the
					 conduct of the business of Modified Guaranteed Annuity, as defined herein.
					 These rules apply both to business conducted by companies domiciled in Rhode
					 Island and to business conducted by companies selling or offering for sale
					 Modified Guaranteed Annuities in Rhode Island or otherwise subject to Rhode
					 Island insurance laws.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.2 - Authority

Current through June 14, 2024
This Regulation is issued pursuant to the authority vested
					 in the Director under R.I. Gen. Laws §
										27-32-7. This Regulation will take
					 effect on May 1, 1996.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.3 - Applicability and Scope

Current through June 14, 2024
A. This Regulation
				  shall apply to:
1. The qualifications of
				  agents who sell modified guaranteed annuity contracts in this state;
2. The qualification of insurers who issue
				  such contracts;
3. The required
				  contract form and provisions for issue of such coverage in this state;
				  and
4. The manner in which separate
				  account assets, supporting such issued contracts, are to be maintained and
				  reported.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.4 - Definitions

Current through June 14, 2024
A. As used in this Regulation, the following
				  terms and phrases shall mean:
1. "Director"
				  means the Director of the Department of Business Regulation and the Insurance
				  Commissioner.
2. "Interest credits"
				  means all interest that is credited to the contract.
3. "Modified guaranteed annuity" means a
				  deferred annuity contract, the underlying assets of which are held in a
				  separate account, and the values of which are guaranteed if held for specified
				  periods. The contract contains nonforfeiture values that are based upon a
				  market value adjustment formula if held for shorter periods. This formula may
				  or may not reflect the value of assets held in the separate account. The assets
				  underlying the contract must be in a separate account during the period or
				  periods when the contract holder can surrender the contract.
4. "Separate account" means a separate
				  account established pursuant to R.I. Gen. Laws §
											27-32-1, or pursuant to the
				  corresponding section of the insurance laws of the state of domicile of a
				  foreign or alien insurer.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.5 - Authority of Insurers

Current through June 14, 2024
A. The following
				  requirements apply to all insurers either seeking or having authority to issue
				  modified guaranteed annuities in this state.
1. Licensing and Approval to do Business.
a. No company shall deliver or issue for
				  delivery modified guaranteed annuities within this state unless it is licensed
				  or organized to do life insurance or annuity business in this state. The
				  Director must be satisfied that its condition or method of operation in
				  connection with the issuance of such contracts will not render its operation
				  hazardous to the public or its policyholders in this state. The Director shall
				  consider among other things the history and financial condition of the company;
				  the character, responsibility and fitness of the officers and directors of the
				  company; and the law and regulation under which the company is authorized in
				  the state of domicile to issue such annuities.
b. If the company is a subsidiary of an
				  admitted life insurance company or affiliated with such company by common
				  management or ownership, it may be deemed by the Director to have satisfied the
				  provision of §
												7.5(A)(1)(a)   of this Part if either the subsidiary or the
				  admitted life company satisfies the provisions of §
												7.5(A)(1)(a)   of this
				  Part. Companies licensed and having a satisfactory record of doing business in
				  this state for a period of at least three (3) years may be deemed to have
				  satisfied the Director with respect to §
												7.5(A)(1)(a)   of this Part
				  above.
c. Before any company shall
				  deliver or issue for delivery modified guaranteed annuities within this state,
				  it shall submit to the Director a general description of the kinds of annuities
				  it intends to issue. If requested by the Director, the following shall be
				  submitted:
(1) A copy of the statutes and
				  regulations of its state of domicile under which it is authorized to issue
				  modified guaranteed annuities; and/or
(2) Biographical data with respect to
				  officers and directors of the company on the NAIC uniform biographical data
				  forms.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.6 - Filing of Contracts

Current through June 14, 2024
The filing requirements applicable to modified guaranteed
					 annuities shall be those filing requirements otherwise applicable under
					 existing statutes and regulations of this state with respect to individual and
					 group life insurance and annuity contract form filings, to the extent
					 appropriate. Filings shall include a demonstration in a form satisfactory to
					 the Director that the nonforfeiture provisions of the contract(s) comply with
					 §
										7.7(B)   of this Part.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.7 - Modified Guaranteed Annuity Contract Requirements

Current through June 14, 2024
A. Mandatory Contract Benefit and Design
				  Requirements.
1. Any modified guaranteed
				  annuity contract delivered or issued for delivery in this state shall contain a
				  statement of the essential features of the procedures to be followed by the
				  insurance company in determining the dollar amount of nonforfeiture
				  benefits.
2. No modified guaranteed
				  annuity contract calling for the payment of periodic stipulated payments shall
				  be delivered or issued for delivery in this state unless it contains in
				  substance the following provisions:
a. A
				  provision that there shall be a grace period of thirty (30) days or one month
				  during which the contract shall remain in force and within which any payment
				  due to the insurer other than the first may be made. The contract may include a
				  statement of the basis for determining the date as of which any such payment
				  received during the grace period shall be applied to produce the values under
				  the contract.
b. A provision that,
				  at any time within one year from the date of default, the contract may be
				  reinstated upon payment to the insurer of such overdue payments as required by
				  contract and of all indebtedness to the insurer on the contract, including
				  interest. Reinstatement may not occur if the cash value has been paid. The
				  contract may include a statement of the basis for determining the date as of
				  which the amount to cover such overdue payments and indebtedness shall be
				  applied to produce the values under the contract.
c. A provision that, to the extent set out in
				  the contract, the portion of the assets of any separate account which equal the
				  reserves and other contract liabilities of the account shall not be chargeable
				  with liabilities arising out of any other business of the company.
3. The market-value adjustment
				  formula, used in determining nonforfeiture benefits, must be stated in the
				  contract and must be applicable for both upward and downward adjustments. When
				  a contract is filed, it must be accompanied by an actuarial statement
				  indicating the basis for the market-value adjustment formula and a
				  demonstration that the formula provides reasonable equity to both the contract
				  holder and the insurance company.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.8 - Reserve Liabilities

Current through June 14, 2024
A. Reserve
				  liabilities for modified guaranteed annuities shall be established in
				  accordance with actuarial procedures that recognize:
1. That assets of the separate account are
				  based on market values;
2. The
				  variable nature of benefits provided; and
3. Any mortality guarantees.
Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 25 - LIFE AND ANNUITIES › Part 7 - Modified Guaranteed Annuities (230-RICR-20-25-7) › Section 230-RICR-20-25-7.9 - Separate Accounts

Current through June 14, 2024
A. The following
				  requirements apply to the establishment and administration of modified
				  guaranteed annuity separate accounts by any domestic insurer:
1. Establishment and Administration of
				  Separate Accounts. Any domestic insurer issuing modified guaranteed annuities
				  shall establish one or more separate accounts pursuant to R.I. Gen. Laws §
											27-32-1.
2. Amounts in the Separate Account. The
				  insurer shall maintain in each separate account assets with a market or other
				  value comporting to standards set out in R.I. Gen. Laws §
											27-32-2 at least equal to the
				  valuation reserves and other contract liabilities respecting such
				  account.
3. Valuation of Separate
				  Account Assets. Investments of the separate account shall be valued at their
				  market value on the date of valuation, or at amortized cost if it approximates
				  market value, or pursuant to standards contained in R.I. Gen. Laws §
											27-32-4.
4. Investment Laws. Unless otherwise approved
				  by the Director, separate accounts relating to modified guaranteed annuities
				  will be subject to investment laws applicable to the insurer's general asset
				  account.