Regulation of Charitable Gift Annuities
Degree of Regulation:
Effective April 18, 2014, a significant change has occurred in the law governing issuance of charitable gift annuities in Wisconsin. (2013 Wisconsin Act 271) Previously a highly regulated state, requiring application to the Office of the Commissioner of Insurance (OCI) and annual reporting, Wisconsin now provides gift annuities with a general exemption from insurance regulation, with no filing required (either initially or annually) to the OCI.
- Years of operation – three years continuous operation (or be the successor or affiliate of an organization in operation for that period of time)
Actions Required for Exemption:
A charity that meets the above mentioned requirement is authorized to issue charitable gift annuities.
Disclosure and Agreement Content Requirements:
Annuity agreements must include the following specified disclosure language:
“A qualified charitable gift annuity is not insurance under the laws of Wisconsin and is not subject to regulation by the commissioner of insurance of Wisconsin or protected by an insurance guaranty fund or an insurance guaranty association."
Charities that had existing Wisconsin annuities at the time the new law went into effect are required to provide notice of the law change to those donors/annuitants.
Links to State Regulations Pages:
Wisconsin Insurance Department Contact Information:
Bureau of Financial Analysis and Examinations
Office of the Commissioner of Insurance
P.O. Box 7873
Madison, WI 53707-7873