Senate Bill 1327 Summary

• Establishes disclosure requirements for annuity contract sales to consumers in Idaho, including provisions for guaranteed, nonguaranteed, and determinable contract elements with clear definitions of each term.

• Requires insurers to provide applicants with a disclosure document and buyer's guide either at the time of application (face-to-face) or within 5 business days (non-face-to-face), with a minimum 20-day free look period if documents are not provided timely.

• Mandates disclosure documents include contract generic name, insurer information, detailed description of benefits, crediting rates, income options, fees and charges, death benefits, tax status, and impact of riders.

• Requires insurers to provide contract owners with at least annual reports detailing accumulation value, cash surrender value, credited amounts, charges, and outstanding loans.

• Exempts variable annuities, immediate/deferred annuities with no nonguaranteed elements, employer-sponsored retirement plans, and structured settlement annuities from disclosure requirements.

• Grants the Director of the Department of Insurance authority to promulgate implementing rules and specifies that the law does not create a private right of action for violations.