CT Ins. Dept. Issues Bulletin on Longevity Annuities
On January 10, 2008, the Connecticut Insurance Department issued Bulletin S-11 on "longevity annuities", or annuities without death benefits prior to annuitization.
The Bulletin includes required sales practices , which include a requirement that a similar deferred annuity with a death benefit be offered and that 3 different illustrations be generated on a case-by-case basis. Policy form requirements are also included.
The Department indicates that a deferred annuity without a death benefit will only be approved when it complies with the Bulletin. The Bulletin does not apply to group annuities purchased under a retirement plan or deferred comp plan established or maintained by an employer or an employee organization.
