Degree of Regulation: Charitable Gift Annuities are exempt from insurance regulation under Mississippi Code Sections 79-11-651 through 79-11-661, which became effective in 2001. A charity must qualify for exemption from regulation as an insurance company by having been in continuous operation for at least 3 years and by having at least $300,000 in unrestricted cash, cash equivalents or publicly traded securities, exclusive of the assets funding the gift annuity agreement.
Notification/Contact with State Regulators: A charity that issues gift annuities starting must file a written notice with the Secretary of State by the date on which it enters into the organization's first qualified gift annuity agreement. The notice must be signed by an officer or director of the charity, identify the name and address of the charity, and certify the organization is a charitable organization and that its annuity agreements are qualified charitable gift annuities.
Disclosure Language Required: The annuity agreement must include a notice in a separate paragraph, and in a type size no smaller than that used in the gift annuity agreement.
Language for State Disclosure Wording: "A qualified charitable gift annuity is not insurance under the laws of the state of Mississippi and is not subject to regulation by the Insurance Commissioner or protected by an insurance guaranty fund or an insurance guaranty association."
Further Details: Failure to qualify and comply with the above provisions permits the Mississippi Secretary of State to fine a charity up to $1,000 per agreement until it does comply.
With respect to preemption of state securities law under the Philanthropy Protection Act, Mississippi was one of the states that opted out. A charity may seek a no-action letter regarding whether or not a securities registration is required, and information about the procedure will be included in the acknowledgement letter received upon filing the notification. Legal counsel should be consulted on the necessity of seeking such a letter.
Links to State Regulations Pages: http://index.ls.state.ms.us/S:/Documents/2001/pdf/sb/2900-2999/sb2948ps.pdf#xml=http://index.ls.state.ms.us/ISYSquery/IRLB045.TMP/3/hilite
Contact:
Joseph Brady
Secretary of State’s Office
Business Regulation & Enforcement
P.O. Box 136
Jackson, MS 39205
(601)359-1650
While every effort is made to provide accurate data, neither any persons named in these pages nor the American Council on Gift Annuities guarantees the accuracy of the data presented here.
The user of this information is solely responsible for determining and verifying the accuracy of the data presented here and how it is used by the reader. This information is provided solely as a resource.
This information is supplied by:
State Regulations Committee
American Council on Gift Annuities
233 McCrea Street, Suite 400
Indianapolis, IN 46225
Phone: 317-269-6271
Fax: 317-269-6276
E-mail: acga@acga-web.org
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