58-33A-19. Reasonableness under circumstances known to insurer.

An insurer's issuance of an annuity subject to § 58-33A-18 shall be reasonable under all the circumstances actually known to the insurer at the time the annuity is issued.

Source: SL 2008, ch 273, § 7; SL 2012, ch 250, § 5; SL 2022, ch 186, § 17, eff. Jan. 1, 2023.




SDLRC - Codified Law 58-33A-19 - Reasonableness under circumstances known to insurer.

58-33A-19.1. Repealed.

Source: SL 2012, ch 250, § 6; SL 2022, ch 186, § 18.




SDLRC - Codified Law 58-33A-19 - Reasonableness under circumstances known to insurer.

58-33A-19.2. Producer obligations--Documentation--Time of recommendation or sale.

A producer shall, at the time of the recommendation or sale:

(1)    Make a written record of any recommendation and the basis for the recommendation subject to the obligations required in §§ 58-33A-13 to 58-33A-27, inclusive;

(2)    Obtain a consumer signed statement on a form substantially similar to the form prescribed by the director and available on the division’s website documenting:

(a)    A customer’s refusal to provide the consumer profile information, if any;

(b)    A customer’s understanding of the ramifications of not providing his or her consumer profile information or providing insufficient consumer profile information; and

(3)    Obtain a consumer signed statement acknowledging the annuity transaction is not recommended if a customer decides to enter into an annuity transaction that is not based on the producer’s recommendation on a form substantially similar to a form prescribed by the director.

Source: SL 2022, ch 186, § 15, eff. Jan. 1, 2023.




SDLRC - Codified Law 58-33A-19 - Reasonableness under circumstances known to insurer.

58-33A-19.3. Issuance by insurer to be reasonable and address consumer needs.

Except as permitted under §§ 58-33A-18 and 58-33A-19, an insurer may not issue an annuity recommended to a consumer unless there is a reasonable basis to believe the annuity would effectively address the particular consumer’s financial situation, insurance needs, and financial objectives based on the consumer’s profile information.

Source: SL 2022, ch 186, § 19, eff. Jan. 1, 2023.