32. What is the overriding purpose of the 2020 version of the NAIC's Suitability in Annuity Transactions Model Regulation?

a. to require producers and insurers to act in the best interest of the consumer

b. to encourage sales of more annuities

c. to require producers to obtain securities licenses in addition to their insurance licenses

d. to simplify annuity recommendation and sales practices

35. Which of the following situations creates no best interest or supervisory standard for Big Life Annuity Company?

a. Juan is appointed by Big Life, but makes a consumer recommendation for the purchase of an annuity Big Life does not offer.

b. A consumer who purchased an annuity offered by Big Life registers a complaint about the product with the producer, not with Big Life.

c. Dirk, an appointed Big Life producer, fails to create a consumer profile before recommending the purchase of an annuity offered by Big Life.

d. A consumer agrees to sign a form provided by a Big Life producer that states neither the producer nor Big Life have any obligation to the consumer for any reason.

38. All but one of the following are required components of a supervision system to verify compliance with annuity recommendations and sales. Which one is not required?

a. consumer best interest training for producers

b. confirmation of consumer's profile information to deter inaccurate information

c. procedures to confirm an affiliated producer's annuity recommendation meets the client's best interest regardless of the insurer that offers the recommended annuity

d. assessment of whether a producer provided required information and disclosures

39. Annuity producer Danielle recommends the purchase of an annuity product to a new client. Based on the consumer profile she created, Danielle thinks the product could effectively meet the consumer's financial needs, but is also influenced by the fact the product provides for a high commission. Did Danielle meet the best interest standard?

a. Yes, because she created a consumer profile.

b. Yes, because she thinks the product could effectively meet the consumer's needs.

c. No, because she did not put the consumer's needs ahead of her own.

d. No, because she did not meet the requirement of knowing beyond all doubt that the product will effectively meet the consumer's needs.