This text of North Dakota § 54-52.6-05.1 (Annuity provider - Qualifications) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
1. The board shall select one or more annuity providers to provide the annuity options
under this chapter.
2. In selecting an annuity provider under this section, the board shall:
a. Determine whether the annuity provider and the provider's subsidiaries and
affiliates have appropriate financial strength and stability at the time of selection
and during the term of contract with the board.
(1)The board may require the provider to provide the board with written
representation:
(a)The provider is in compliance with title 26.1.
(b)The provider at the time of selection is and for each of the preceding
seven years was in compliance and good standing with the insurance
commissioner of the provider's domiciliary state and the provider is not
operating under an order of rehabilitation or liquida
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1. The board shall select one or more annuity providers to provide the annuity options
under this chapter.
2. In selecting an annuity provider under this section, the board shall:
a. Determine whether the annuity provider and the provider's subsidiaries and
affiliates have appropriate financial strength and stability at the time of selection
and during the term of contract with the board.
(1) The board may require the provider to provide the board with written
representation:
(a) The provider is in compliance with title 26.1.
(b) The provider at the time of selection is and for each of the preceding
seven years was in compliance and good standing with the insurance
commissioner of the provider's domiciliary state and the provider is not
operating under an order of rehabilitation or liquidation.
(c) The provider maintains and has maintained reserves that satisfy the
statutory requirements of each state in which the provider does
business.
(2) The board may require a provider selected by the board to provide annuities
under this chapter to notify the board of a change of circumstances resulting
in the provider failing to meet any of the requirements under paragraph 1.
(3) The board must have determined the provider has a claims paying ability
rating that meets standards adopted by the board.
b. Determine whether the annuity provider is able to provide contracted rights and
benefits to a participating member.
c. Determine whether the costs, including fees and commissions, of the annuity
options in relation to the benefits and product features of the annuity options are
reasonable.
d. Determine whether the administrative services to be provided under the annuity
option are appropriate. At a minimum the administrative services must include
periodic reports to the board.
e. Determine whether the annuity provider is experienced in paying lifetime
retirement income through annuities offered to public employee defined
contribution retirement plans.
f. Determine whether the annuity provider offers a menu of annuity options that
meet the following conditions:
(1) The annuity options are suitable for participating members and
beneficiaries.
(2) The contract terms and income benefits are clearly stated, based on
reasonable assumptions.
(3) The menu of annuity options offers a range of lifetime income options.
(4) If an annuity is a variable annuity, the annuity offers a fixed account option
along with a variable option.
g. Determine whether the annuity provider offers objective and participant-specific
education and tools to help a participating member understand the appropriate
use of annuities as a long-term retirement savings vehicle.