Compliance Alert 11-2008
by W. Michael Reese
November 2008

Compliance Alert – Massachusetts Passes Gender-Neutral Annuity Legislation

All life insurance companies licensed in Massachusetts need to be aware that legislation was passed in July that requires gender neutrality in individual and group annuity sales involving Massachusetts residents. The effective date is January 1, 2009.

The legislation covers both premiums and pay-out amounts, and it was written in a way that covers policies for all Massachusetts residents, whether issued in or outside the state. As of early October, the Executive Office of Housing and Economic Development, which includes the Massachusetts Division of Insurance, was working on regulations to implement the act. The regulations are needed before companies will know exactly how to comply with the new requirements.

Feel free to give us a call if you would like to discuss the latest developments, or if you need help developing gender blended pay-out annuities.

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