# COMAR Title 31 — Maryland Insurance Administration

## Subtitle 09 — Life Insurance and Annuities

### Chapter 12 — Suitability in Annuity Transactions

#### Regulation .02 Scope.

*COMAR 31.09.12.02*

A. In General. This chapter applies to any sale or recommendation of an annuity.

B. Exceptions. Unless otherwise specifically included, this chapter does not apply to transactions involving:

  (1) Direct response solicitations if there is no recommendation based on information collected from the consumer pursuant to this regulation;

  (2) Contracts used to fund:

    (a) An employee pension or welfare benefit plan that is covered by the Employee Retirement and Income Security Act;

    (b) A plan described by 26 U.S.C. §§401(a), 401(k), 403(b), 408(k), or 408(p) if established or maintained by an employer;

    (c) A government or church plan defined in 26 U.S.C. §414, a government or church welfare benefit plan, or a deferred compensation plan of a state or local government or tax-exempt organization under 26 U.S.C. §457; or

    (d) A nonqualified deferred compensation arrangement established or maintained by an employer or plan sponsor;

  (3) Settlements of or assumptions of liabilities associated with personal injury litigation or any dispute or claim resolution process; or

  (4) Formal prepaid funeral contracts.