It is important to contact investment professionals to determine how an annuity can you help achieve your specific long-term financial goals, and which type of annuity may be best suited to your individual needs.

Evaluate qualifications of the broker or financial advisor.  Make sure your advisor has the appropriate license(s) to sell annuities. Selling a fixed annuity requires a license by your state insurance department. A variable annuity can only be sold by a registered representative of a broker-dealer that is a member of the Financial Regulatory Authority (FINRA). Also, determine what specific training is required for the advisor to obtain his/her professional designations.

Who Can Sell Annuities?
People who sell Variable Annuities need training in both securities and insurance. This training can be obtained from many sources. Some distributors provide in-house training to their registered representatives.  Some registered representatives utilize training provided by insurance company wholesalers.  Some registered representatives are trained independent third-party educators.

Fixed annuity sellers receive much of the same instruction as those selling variable annuities but do not need the securities training.

In order to sell annuities, a state insurance license must be obtained from the state in which the office is located. If you live in a different state from the one in which the insurance license is issued, a non-resident license must be obtained.  A non-resident license is required for each and every state in which an out-of-state client resides.

Since variable annuities are considered securities under federal securities laws, individuals who wish to sell them must, in addition to having an insurance license, be associated with a broker-dealer, be federally registered as a representative, and pass a Series 6, or the more comprehensive Series 7, exam. In some jurisdictions, a state securities license is also required.

Where Can Annuities Be Purchased?
Annuities can be purchased from a variety of different sources.  Some insurance companies sell their products only through their own dedicated sales force or captive agents; others use agents who represent many companies and have no primary company affiliation.

Variable annuities can be purchased through a number of different distribution channels, such as independent FINRA firms, wirehouses, regional investment firms, captive agents, and banks.

Fixed annuities are sold through distribution channels similar to variable annuities.

For additional information, please contact

For matters concerning Brokers and Investment Advisers:
Financial Regulatory Authority (FINRA).
FINRA BrokerCheck is a free online tool to help investors check the professional background of current and former FINRA-registered securities firms and brokers.
http://www.finra.org/Investors/ToolsCalculators/BrokerCheck/index.htm

U.S. Securities and Exchange Commission
http://www.sec.gov/investor/brokers.htm

For matters concerning individual state securities regulators
North American Securities Administrators Association
http://www.nasaa.org/QuickLinks/ContactYourRegulator.cfm