Podcast
Questions and Answers
What is a producer's obligation when making a recommendation of an annuity?
What is a producer's obligation when making a recommendation of an annuity?
- To place the producer's financial interest ahead of the consumer's interest
- To act in the best interest of the consumer without placing the producer's or the insurer's financial interest ahead of the consumer's interest (correct)
- To prioritize the insurer's financial interest over the consumer's interest
- To make recommendations based on the producer's financial situation
What factors must a producer know about a consumer before making a recommendation for an annuity?
What factors must a producer know about a consumer before making a recommendation for an annuity?
- The consumer's intended use of the annuity and tax status
- The consumer's financial situation and needs, but not their financial objectives
- The consumer's financial situation, insurance needs, and financial objectives (correct)
- Only the consumer's age and annual income
What should a producer consider regarding a consumer's risk tolerance when recommending an annuity?
What should a producer consider regarding a consumer's risk tolerance when recommending an annuity?
- The consumer's willingness to accept nonguaranteed elements in the annuity, among other factors (correct)
- Only the consumer's willingness to accept guaranteed elements in the annuity
- Risk tolerance is not relevant in making recommendations for annuities
- The producer's own risk tolerance, not the consumer's
What must a producer do regarding documentation when recommending an annuity?
What must a producer do regarding documentation when recommending an annuity?
What is the main focus of a producer when knowing a consumer's financial situation, insurance needs, and financial objectives?
What is the main focus of a producer when knowing a consumer's financial situation, insurance needs, and financial objectives?
In what circumstances should a producer place their financial interest ahead of the consumer's interest when recommending an annuity?
In what circumstances should a producer place their financial interest ahead of the consumer's interest when recommending an annuity?
What must a producer consider when making a recommendation for an annuity?
What must a producer consider when making a recommendation for an annuity?
What must a producer disclose to the consumer before recommending or selling an annuity?
What must a producer disclose to the consumer before recommending or selling an annuity?
In the case of an exchange or replacement of an annuity, what should the producer consider?
In the case of an exchange or replacement of an annuity, what should the producer consider?
What is required before selling, soliciting, or negotiating an annuity?
What is required before selling, soliciting, or negotiating an annuity?
What action can the Director take for any consumer who is harmed by a violation of laws concerning suitability of annuity sales?
What action can the Director take for any consumer who is harmed by a violation of laws concerning suitability of annuity sales?
What obligation does the producer have regarding obtaining consumer profile information before recommending an annuity?
What obligation does the producer have regarding obtaining consumer profile information before recommending an annuity?
What is the duty of the producer in making a recommendation for an annuity?
What is the duty of the producer in making a recommendation for an annuity?
When is a producer not obligated to a consumer?
When is a producer not obligated to a consumer?
What must be considered in the case of an exchange or replacement of an annuity?
What must be considered in the case of an exchange or replacement of an annuity?
What is required for an insurer's producers before making proper recommendations?
What is required for an insurer's producers before making proper recommendations?
'What is one of the disclosure obligations prior to the recommendation or sale of an annuity?' - This question is best suited for which part of the text?
'What is one of the disclosure obligations prior to the recommendation or sale of an annuity?' - This question is best suited for which part of the text?
What is one of the considerations in making a recommendation for an annuity?
What is one of the considerations in making a recommendation for an annuity?