Regulation 60 Basics
This New York Regulation is a consumer protection law for the replacement of insurance policies.
What is Regulation 60?
Agents must complete this form for every life insurance or annuity sale in New York, even if no replacement is proposed.
What is the Definition of Replacement form?
This regulation requires all transactions to be in the customer's best interest regardless of compensation paid.
What is Regulation 187?
Producers often call for help with this form, but representatives cannot give them answers.
What is the New York Suitability Form?
This standard says recommendations must put the consumer's interests first.
What is the best-interest standard?
Regulation 60 applies to these two contract types.
What are life insurance and annuity contracts?
These two people must sign the Definition of Replacement disclosure after reviewing it.
Who are the agent and the applicant/owner?
Regulation 187 focuses on concerns about advisors and insurers acting this way.
What is acting in the best interest of consumers?
On the New York Suitability Form, this is not acceptable in place of a written answer.
What is N/A?
This kind of information must be evaluated before making a recommendation to a consumer.
What is relevant suitability information?
The purpose of Regulation 60 is to prevent unfair competition and practices in the replacement of these products.
What are life insurance and annuity contracts?
APO-3381-N is the form number for this Regulation 60 document.
What is the Definition of Replacement form?
In addition to best-interest standards, Regulation 187 requires these three things advisors need to know.
What are additional disclosures, training, and other requirements?
This internal team completes the New York Initial Suitability Review.
What is the internal Reg 60 team?
This department can help when Best Interest and Product Training requirements are NIGO.
What is Licensing?
This is what the consumers gain from Regulation 60 disclosure before replacing coverage.
What is enough information to compare existing and proposed policies and make an informed decision?
Name any two of the forms listed as part of the Reg 60 packet.
What are the Disclosure Information Request, Important Notice Regarding Replacement, Information Release Authorization, Definition of Replacement, or the Disclosure Form generated by Nationwide after receiving funds?
Recommendations to the consumer should be based on evaluating this kind of information.
What is relevant suitability information?
This New York-specific statement appears on the last page of the illustration for fixed products and does not populated for other states.
What is the Preliminary Information Statement?
On the New York Suitability Form, responses must be this instead of simply writing N/A.
What are complete written sentences?
Regulation 60 disclosures are meant to help consumers before making this type of policy decision.
What is replacement of an existing life insurance or annuity coverage?
This Reg 60 form is generated by Nationwide after receiving funds?
What is the Disclosure Form?
Regulation 187 best-interest standards apply to these two types of policy activity.
What are new business and in-force policy transactions or recommendations?
If a producer asks how to answer the New York Suitability Form, representatives must do this.
What is avoid providing answers, indicate answers should be truthful and in complete sentences?
Advisors and insurers must act in the consumer's best interest for these two categories of activity.
What are new business and in-force policy transactions and recommendations?