Which of the following types of licenses is are required to sell variable insurance products in this state?
Producers selling Variable Life and Variable Annuities must have a state life insurance license plus a federal securities license (Series 6 or 7), which are now issued by FINRA, formerly known as the National Association of Securities Dealers (NASD).
Can you sell variable life insurance with a Series 7?
The Series 7 license is known as the general securities representative (GS) license. It authorizes licensees to sell virtually any type of individual security. 2 The only major types of securities or investments that Series 7 licensees are not authorized to sell are commodities futures, real estate, and life insurance.
Who regulates a variable universal life policy?
Because of investment risks, variable policies are considered securities contracts. They are regulated under the federal securities laws. Following the federal regulations, sales professionals must provide a prospectus of available investment products to potential buyers.
Who can sell a variable annuity?
FINRA – Financial Services Regulatory Authority. The Series 6 license is known as the limited-investment securities license. It allows its holders to sell “packaged” investment products such as mutual funds, variable annuities and unit investment trusts (UITs).
Is variable universal life insurance a security?
Variable life is a type of security that offers fixed premiums and a minimum death benefit. Unlike whole life insurance, its cash value is invested in a portfolio of securities. However, the policy’s investment return is not guaranteed and the cash value will fluctuate. Variable Universal Life Insurance.
Do you need a license to sell variable life insurance?
(A mutual fund pools a collection of stocks or bonds into a single investment product.) Selling variable life insurance requires a state life insurance license, a series 6 license and a series 63 license.
What do you need to know about variable universal life insurance?
Here, we’re looking at the basics of a variable universal life (VUL) insurance policy that includes what it is, how it works, and a few of the pros and cons. Variable universal life insurance is a permanent life insurance policy that allows for growth.
Do you need a life insurance license to sell IUL?
You must have the underlying life insurance license to sell either product. If you think that’s obvious, you haven’t experienced the questions we get about selling IUL or VUL!
Can a life insurance agent sell a VUL?
So much so that many life insurance producers who historically had the proper license to sell VUL have decided not to renew it due to the onerous levels of compliance required. Assuming they dropped their securities license, they can no longer sell VUL.