Florida Bill Regulating Annuities Dies in Committee

by L.A.S.

A proposed bill that would require annuities sold to seniors to provide a 60-day “free-look” period died in committee. The bill was labeled SB 724 with the companion House bill labeled HB 141.

Even though the billed died in this session of the state congress, it could be resurrected in the next legislative session.

Provisions of the bill include not only the above clause, but also: would allow return premiums on said annuity sale for 60 days after purchase; no surrender charges after the fifth year of an annuity contract; bars family members of an insurance agent from being beneficiaries of an insurance policy.

The bill also would tighten standards of conduct for insurance agents by: expanding grounds for suspension or revocation of a license; in cases of “twisting” or “churning” of policies belonging to clients age 65 or more, such practices would become third degree felonies.