Suggested Maximum Gift Annuity Rates, Quality Training Opportunties, and Consumer Protection Advocacy

YOU CAN BE AN ACGA STATE AGENT

 

Signup to be an ACGA State Agent today!

 

State Agent Information

 

Simmons Endowment Fund

DonateNow

The Terry L. Simmons Philanthropic Endowment Fund will provide scholarships to worthy individuals who would otherwise be unable to attend the Conference on Gift Annuities.

 

Texas

Regulation of Charitable Gift Annuities

Degree of Regulation:

Issuance of charitable gift annuities is regulated under Chapter 102, Texas Insurance Code.

In order to issue gift annuities in the state, a charity must meet the following regulatory requirements:

  • have been in continuous operation for more than three years
  • have a minimum of $100,000 in cash, cash equivalents, or publicly-traded securities, exclusive of assets funding the annuity agreements
  • provide notice to the Department of Insurance

Actions Required for Exemption:

A charity must file notice with the Texas Department of Insurance certifying its nonprofit and tax exempt status, that the annuities to be offered are charitable gift annuities within the meaning of IRC sections. 501(m)(5) and 514(c)(5), and that the annuity agreements will include the required disclosure language.

Disclosure and Agreement Content Requirements:

A disclosure statement must be included in each gift annuity agreement in a separate paragraph in print size no smaller than that used in the agreement.

Suggested Language for State Disclosure: “This charitable gift annuity is not insurance under the laws of the state of Texas and is not subject to regulation by the Texas Department of Insurance or protected by a guaranty association affiliated with the Department.”

Reserve Requirements:

None

Annual Reporting:

None

Compliance/Enforcement:

Enforcement may be made by demand letter sent via certified mail. Failure to comply permits a fine of up to $1,000 for each annuity issued during the time the organization is not in compliance.

Links to State Regulations:

Chapter 102, Texas Insurance Code

Contact:

Life/Health and HMO Intake Team
Life, Annuity and Credit Program
Life and Health Lines Office
Texas Department of Insurance
MC-106-1E
P.O. Box 149104
Austin, TX 78714-9104
(512) 676-6888
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Login

Follow ACGA

fb li tw