JOURNAL ARTICLE

The What, Who, and Why of Suitable Insurance Product Recommendations.

  • Published In: Journal of Financial Service Professionals, 2025, v. 79, n. 4. P. 25 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Weber, Richard M.; Vanderzanden, Gerard J. 3 of 3

Abstract

FINRA Rule 2111 requires registered representatives to align product recommendations with the client's circumstances. The admonition to "know your client" is essential for fulfilling this obligation. However, New York is the only state mandating that licensed insurance producers apply suitability principles to buyers of nonsecurity life insurance (including term) and annuity products. A wide spectrum of products exists, varying in premium outlay and the degree to which the transfer of insured risk is complete or has inadvertently (and often unknowingly) reverted to the policyowner. Herein, we discuss the need to address suitability and best interest principals. [ABSTRACT FROM AUTHOR]

Additional Information

  • Source:Journal of Financial Service Professionals. 2025/07, Vol. 79, Issue 4, p25
  • Document Type:Article
  • Subject Area:Business and Management
  • Publication Date:2025
  • ISSN:1537-1816
  • Accession Number:186011036
  • Copyright Statement:Copyright of Journal of Financial Service Professionals is the property of Society of Financial Service Professionals and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

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