MassMutual Updates Best Interest Standard Required Training

The new NAIC Best Interest Standard went into effect in Utah on July 1, 2024. Please see below for an update on the required training under this standard.

Required training 

Producers who hold a life insurance line of authority, who were not engaged in the sales of annuities prior to July 1, 2024, and who desire to start selling annuities must complete an approved four-hour annuity training course by July 1, 2025. A producer who fails to complete the training by this deadline must immediately cease selling annuities until the training is complete. 

Producers who obtain a life insurance line of authority on or after July 1, 2024, shall not engage in any annuity sales until they successfully complete an approved four-hour annuity training course. 

Producers who have completed the current Department approved "Annuity" training course prior to July 1, 2024, must complete one of the following options by July 1, 2025: 

• A new four-credit hour training course approved by the Department. The course group will be identified as "Annuity Best Interest 4 Hours"; or
• A new one-credit hour training course approved by the Department. The course group will be identified as "Annuity Best Interest 1 Hour". 

Please note:

• Commissions will be held if training isn’t completed by the required date.
• All producers on the application must complete the continuing education and product-specific training. 

Update to required training

A producer is considered to have met the above requirements if they completed an approved training course between January 1, 2024 and July 1, 2024 that met the following:

• The minimum length of the training was sufficient to qualify for at least four continuing education credits (but may be longer).
• The training included information on the following topics:

• The types of annuities and various classifications of annuities,
• Identification of the parties to an annuity,
• How product specific annuity contract features affect consumers,
• The application of income taxation of qualified and non-qualified annuities,
• The primary uses of annuities, and
• Appropriate standards of conduct, sales practices, replacement and disclosure requirements.

• A provider of a course complying with this section shall cover all topics listed in the prescribed outline and may not present any marketing information or provide training on sales techniques or provide specific information about a particular insurer's products.

For more information, visit the Best Interest Resource Center or the Market Conduct & Compliance Guide.