Terms Used In Arizona Laws > Title 20 > Chapter 6 > Article 1.3 - Protection in Annuity Transactions

• Action: includes any matter or proceeding in a court, civil or criminal. See Arizona Laws 1-215
• Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
• Annuity: means an annuity that is individually solicited, whether the product is classified as an individual or group annuity. See Arizona Laws 20-1243
• Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
• Cash compensation: means any discount, concession, fee, service fee, commission, sales charge, loan, override or cash benefit received by a producer in connection with the recommendation or sale of an annuity from an insurer or intermediary or directly from the consumer. See Arizona Laws 20-1243
• Complaint: A written statement by the plaintiff stating the wrongs allegedly committed by the defendant.
• Consumer profile information: means information that is reasonably appropriate to determine whether a recommendation addresses the consumer's financial situation, insurance needs and financial objectives, including at least the following:

  (a) Age. See Arizona Laws 20-1243

• Continuing education credit: means one continuing education credit hour as defined in section 20-2901. See Arizona Laws 20-1243
• Continuing education provider: means an individual or entity that is approved to offer continuing education courses pursuant to chapter 18 of this title. See Arizona Laws 20-1243
• Contract: A legal written agreement that becomes binding when signed.
• department: means the department of insurance and financial institutions. See Arizona Laws 20-101
• Fiduciary: A trustee, executor, or administrator.
• FINRA: means the financial industry regulatory authority or a succeeding agency. See Arizona Laws 20-1243
• including: means not limited to and is not a term of exclusion. See Arizona Laws 1-215
• Intermediary: means an entity that is contracted directly with an insurer or with another entity that is contracted with an insurer to facilitate the sale of the insurer's annuities by producers. See Arizona Laws 20-1243
• Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
• Litigation: A case, controversy, or lawsuit. Participants (plaintiffs and defendants) in lawsuits are called litigants.
• Noncash compensation: means any form of compensation that is not cash compensation, including health insurance, office rent, office support and retirement benefits. See Arizona Laws 20-1243
• Nonguaranteed elements: means the premiums, credited interest rates including any bonus, benefits, values, dividends, noninterest based credits, charges or elements of formulas used to determine any of these that are subject to company discretion and are not guaranteed at issue. See Arizona Laws 20-1243
• Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
• Person: includes a corporation, company, partnership, firm, association or society, as well as a natural person. See Arizona Laws 1-215
• Process: means a citation, writ or summons issued in the course of judicial proceedings. See Arizona Laws 1-215
• Replacement: means a transaction in which a new annuity is to be purchased and it is known or should be known to the proposing producer or to the proposing insurer, whether or not a producer is involved, that by reason of the transaction, an existing annuity or other insurance policy has been or is to be any of the following:

  (a) Lapsed, forfeited, surrendered or partially surrendered, assigned to the replacing insurer or otherwise terminated. See Arizona Laws 20-1243

• SEC: means the United States securities and exchange commission. See Arizona Laws 20-1243
• United States: includes the District of Columbia and the territories. See Arizona Laws 1-215