NEW Model Reg Requirements in Texas, Virginia, Montana

NAIC Model Regulation 275 requires sales process changes
Effective in Texas Sept. 1, 2021 (training required before Jan. 1, 2022)
Effective in Virginia Sept. 1, 2021 (training required before March 1, 2022)
Effective in Montana Oct. 1, 2021 (training required before April 1, 2022)

For all new business written in Texas, Virginia, and Montana, a new annuity standard of care rule becomes effective on the dates listed above. This new “best interest” standard, which replaces the old suitability standard, includes several substantive changes to both producer obligations and supervising insurer obligations. These changes will impact the sales process — including new point-of-sale form requirements, producer disclosures, and documentation obligations.

We’ve developed a Compliance Blueprint to help you understand your new obligations and summarize the new business requirements. Included with the Compliance Blueprint is the Doing Business With North American Blueprint. This Doing Business Blueprint is intended to be a “cheat sheet” of sorts for you to refer back to as you are getting comfortable with your new compliance obligations. Get these valuable resources now.

The following video from Kevin Mechtley, Vice President-Legal & Director of Government Affairs, focuses on the model itself. There may be slight state variations so watch your email for notifications.

Microsite

Our microsite offers resources you’ll need to navigate the new regulation.

Resources

Find training resources through RegEd.
To avoid delays in your business, complete training by the dates below and send us certification that you’ve taken training.
Texas: complete training before Jan. 1, 2022
Virginia: complete training before March 1, 2022
Montana: complete training before April 1, 2022

Required forms (also found on our microsite)
NEW in TX, VA, MT – Best Interest Attestation Form
NEW in TX, VA, MT – Producer Disclosure Form
Updated Jan. 1, 2021 and required in all states:
Consumer Profile Form
Comparison and Disclosure Form
(No change to the current AR, FL, NV comparison forms)