California CA 2025 4hr Annuity Training - How Fixed Variable and Index Annuity Provisions Affect Consumers

This course provides four hours of annuity training, which must be completed every two years by California resident and nonresident life agents who sell annuity products. The subject matter covered in this course is consistent with the outline developed by the California Department of Insurance for purposes of this training. For resident agents, this four-hour training requirement is part of, not in addition to, their continuing education requirements.

Learning Objectives

At the conclusion of this four-hour course, the student should be able to:

• Understand how fixed, variable, and index annuity contracts affect consumers;
• Understand issues of annuity product ethics and compliance
• Understand the licensees’ legal and ethical obligations to the consumer, insurer, and regulatory authorities, regarding the “Best Interest” standard of suitability in making annuity product recommendations;
• Be able to define the “Best Interest” standard of “suitability”;
• Be able to define the types of information that must be obtained from the consumer in order to make annuity product purchase recommendations which comply with the “Best Interest” standard of “suitability”;
• Be able to identify the product features and circumstances that would cause an annuity product to be suitable and unsuitable for a consumer using the “Best Interest” standard of “suitability”;
• Understand the processes in place to audit and supervise licensee activities;
• Identify the regulatory requirements that have been enacted to protect senior consumers during purchases and exchanges of annuity products
• Identify violations of the “Best Interest” standard of suitability; and
• Know and understand the penalties provided for violations of applicable laws.