| 1 | A bill to be entitled |
| 2 | An act relating to annuity products; amending s. |
| 3 | 627.4554, F.S.; providing that any person who |
| 4 | purchases an annuity product in this state and who is |
| 5 | 75 years of age or older at the time of purchase may |
| 6 | rescind without penalty the contract for the sale of |
| 7 | such annuity product for any reason at any time within |
| 8 | a period of 1 year after the date on which such |
| 9 | product is purchased; requiring that a person |
| 10 | rescinding such contract notify the insurer or |
| 11 | insurer's agent of rescission in writing; requiring |
| 12 | that a person rescinding such contract or agreement |
| 13 | receive from the insurer a full refund of any costs |
| 14 | paid to the insurer or insurer's agent for the annuity |
| 15 | product or related services upon receipt by the |
| 16 | insurer or insurer's agent of the written notice of |
| 17 | rescission; requiring that an insurer licensed to |
| 18 | provide annuity products in this state include certain |
| 19 | provisions in a contract for such product; providing |
| 20 | an effective date. |
| 21 |
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| 22 | Be It Enacted by the Legislature of the State of Florida: |
| 23 |
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| 24 | Section 1. Subsection (9) is added to section 627.4554, |
| 25 | Florida Statutes, to read: |
| 26 | 627.4554 Annuity investments by seniors.-- |
| 27 | (9) RESCISSION.--Any person who purchases an annuity |
| 28 | product in this state and is 75 years of age or older at the |
| 29 | time of purchase may rescind without penalty a contract for the |
| 30 | sale of such annuity product for any reason at any time within a |
| 31 | period of 1 year after the date on which such product is |
| 32 | purchased. |
| 33 | (a) Such rescission must be made in writing and may be |
| 34 | delivered to the insured or any agent of the insured selling |
| 35 | annuity products. |
| 36 | (b) A person rescinding a contract or agreement for such |
| 37 | annuity product shall receive from the insurer a full refund of |
| 38 | any costs paid to the insurer or insurer's agent for such |
| 39 | product or related services upon receipt by the insurer of the |
| 40 | written notice of rescission. |
| 41 | (c) Any insurer licensed to write or sell annuities or |
| 42 | annuity products in this state must include provisions in any |
| 43 | contract or agreement for the purchase of that insurer's annuity |
| 44 | products allowing a person 75 years of age or older who |
| 45 | purchases an annuity product from that insurer or an agent of |
| 46 | that insurer to rescind such contract or agreement in accordance |
| 47 | with this subsection and providing that person with a full |
| 48 | refund of any costs paid to the insurer or insurer's agent for |
| 49 | such product or related services. Failure to include such |
| 50 | provisions constitutes a violation of this code, subject to the |
| 51 | appropriate penalties. |
| 52 | Section 2. This act shall take effect July 1, 2008. |