[Part VII.]  SUITABILITY IN
ANNUITY TRANSACTIONS



 



Cross References



 



  Variable contracts, see §431:10D-118.



 



[§431:10D-621]  Scope.  (a)  This part
applies to any recommendation to purchase or exchange an annuity made to a
consumer by an insurance producer, or an insurer where no producer is involved,
that results in the purchase or exchange recommended.



(b)  This part does not apply to
recommendations involving:



(1)  Direct-response solicitations where there is no
recommendation based on information collected from the consumer pursuant to
this part; or



(2)  Contracts used to fund:



(A)  An employee pension or welfare benefit
plan that is covered by the Employee Retirement and Income Security Act;



(B)  A plan described by sections 401(a),
401(k), 403(b), 408(k), or 408(p) of the Internal Revenue Code of 1986, as
amended, if established or maintained by an employer;



(C)  A government or church plan defined in
section 414 of the Internal Revenue Code of 1986, as amended, a government or
church welfare benefit plan, or a deferred compensation plan of a state or
local government or tax exempt organization under section 457 of the Internal
Revenue Code of 1986, as amended;



(D)  A non-qualified deferred compensation
arrangement established or maintained by an employer or plan sponsor;



(E)  Settlements of or assumptions of
liabilities associated with personal injury litigation or any dispute or claim
resolution process; or



(F)  Formal prepaid funeral contracts.



[(c)]  Nothing in this [part] shall be
construed to affect in any manner any provision of chapter 485A. [L 2007, c
257, pt of §2, §§4, 5, 9]



 



Revision Note



 



  Subsection (c) is codified to this section pursuant to
§23G-15 and edited to exclude the words, "Hawaii Revised Statutes".