FINRA Clarifies Variable Annuity Sale Requirements

Law360, New York (October 21, 2009, 6:14 PM EDT) -- The Financial Industry Regulatory Authority has proposed a new rule that would clarify requirements for how life insurance companies must communicate with the public when selling variable annuities.

FINRA submitted the proposed rule change to the U.S. Securities and Exchange Commission on Tuesday. The SEC will soon publish a notice of the proposed rulemaking in the Federal Register to solicit public comment, according to FINRA's Web site.

The proposed rule would replace an earlier rule promulgated by the National Association of Securities Dealers, FINRA's predecessor organization,...
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