Nevada Administrative Code
Chapter 688A - Life Insurance and Annuity Contracts
PURCHASE OR EXCHANGE OF ANNUITIES
Section 688A.450 - Applicability of provisions
Universal Citation: NV Admin Code 688A.450
Current through February 27, 2024
1. Except as otherwise provided in subsections 2 and 3, NAC 688A.400 to 688A.475, inclusive, apply to:
(a) Any solicitation, negotiation or
procurement of annuities occurring within this State;
(b) Any issuer of annuities, including,
without limitation, fraternal benefit societies; and
(c) Individual deferred annuities.
2. NAC 688A.400 to 688A.475, inclusive, do not apply to:
(a) Annuities used
to pay for:
(1) An employee pension or welfare
benefit plan that is covered by the Employee Retirement and Income Security Act
of 1974,
29 U.S.C.
§§
1001 et seq.
(2) A plan established or maintained by an
employer and authorized by
26 U.S.C.
§
401(a),
401(k),
403(b),
408(k)
or
408(p).
(3) A governmental plan, as defined in
26 U.S.C. §
414(d).
(4) A church plan, as defined in
26 U.S.C. §
414(e).
(5) A government or church welfare benefit
plan.
(6) A deferred compensation
plan of a state or local government or a tax exempt organization authorized by
26
U.S.C. §
457.
(7) A nonqualified deferred compensation
arrangement.
(8) A settlement or an
assumption of liabilities associated with litigation or any other process for
dispute resolution related to a claim for compensation for personal
injury.
(9) A prepaid funeral
contract.
(10) A structured
settlement annuity.
(11) A funding
agreement.
(b) Immediate
annuity contracts that do not contain any nonguaranteed elements.
(c) Annuities purchased from an insurer in
response to a direct-response solicitation and where the purchase was not based
on a recommendation from the insurer.
3. Notwithstanding the provisions of subsection 2, NAC 688A.400 to 688A.475, inclusive, apply to any annuity that is used to pay for a plan or arrangement which is paid for solely by contributions made by an employee on a pretax or after-tax basis and where participants are able to choose from among two or more fixed annuity providers.
4. As used in this section:
(a) "Funding agreement" means an agreement
under which an insurer accepts and accumulates money for the purpose of making
one or more future payments to a person that are not based on mortality or
morbidity contingencies.
(b)
"Structured settlement annuity" means:
(1) A
qualified funding asset that meets the requirements of section 130(d) of the
Internal Revenue Code,
26 U.S.C. §
130(d); or
(2) An annuity that meets the requirements to
be a qualified funding asset pursuant to section 130(d) of the Internal Revenue
Code,
26 U.S.C. §
130(d), except that the
annuity is not owned by an assignee under qualified assignment.
Added to NAC by Comm'r of Insurance by R076-05, eff. 2-23-2006
NRS 679B.130
Disclaimer: These regulations may not be the most recent version. Nevada may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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