Florida Statutes, Rules, and Regulations Pertinent to Life and Annuity Insurance, Including Variable Products

A Florida client asks an agent to surrender an existing annuity. What must the agent do before the surrender is executed?

Answer and explanation
Answer: B. Section 627.4553 requires the agent to provide written disclosure before executing a surrender of an annuity or life insurance policy, covering the estimated surrender charge, the loss of any minimum interest rate guarantees, possible tax consequences, and other relevant details. The statute imposes no consent from another insurer, no filing with the Office, and no waiting period.Source: Fla. Stat. § 627.4553 — 627.4553, Disclosure before surrender

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