Current through 2024-38, September 18, 2024
This rule applies to all group and individual annuity
contracts and certificates except:
A.
Immediate and deferred annuities that contain no non-guaranteed
elements;
B.
(1) 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, where the plan, for purposes of
ERISA, is established or maintained by an employer,
(c) A governmental or church plan defined in
Section 414 of the Internal Revenue Code or a deferred compensation plan of a
state or local government or a tax exempt organization under Section 457 of the
Internal Revenue Code; or
(d) A
nonqualified deferred compensation arrangement established or maintained by an
employer or plan sponsor.
(2) Notwithstanding Paragraph (1), the rule
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;
C.
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.);
D.
(1) 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.
(2) Notwithstanding Subsection D(1), the
delivery of the Buyer's Guide is required in sales of variable annuities, and
when appropriate, in sales of other registered products.
(3) Nothing in this subsection shall limit
the Superintendent's ability to enforce the provisions of this rule or to
require additional disclosure;
E. Structured settlement annuities;
F. Charitable gift annuities
satisfying the requirements of
24-A M.R.S.
§703-A; and
