Regulation of Charitable Gift Annuities
Degree of Regulation:
Under Official Code of Georgia Annotated Sections 33-58-1 to 33-58-6, charitable gift annuities are exempt from regulation as an insurance company.
- Years of operation - three years continuous operation (or be the successor or affiliate of an organization in operation for that period of time)
- Minimum assets - $300,000 in unrestricted cash, cash equivalents or publicly traded securities, not counting the annuity gift.
- submit an annual filing to the state
Actions Required for Exemption:
A charity must notify the state that it is issuing gift annuities by the date on which it enters into its first gift annuity agreement. Notification is required if the charity is based in the state of Georgia or if its donors reside there. The notice shall be signed by an officer or director of the organization, identify the organization, certify that the organization is a charitable organization and that the gift annuities issued by the organization are qualified charitable gift annuities.
Disclosure and Agreement Content Requirements:
"A qualified charitable gift annuity is not insurance under the laws of Georgia and is not subject to regulation by the Commissioner of Insurance or protected by any insurance guaranty association."
On an annual basis a charity must submit a copy of its audited financial statement once it becomes available.
Enforcement may be made by demand letter sent via certified mail. Failure to qualify and comply with Title 33 of the Official Code of Georgia shall permit the Georgia Insurance Commissioner to fine the charity up to $1,000 per agreement until it does comply.
Links to State Regulations Pages:
Insurance Department Contact Information:
Mr. Scott Sanders
Insurance and Financial Oversight Division
Georgia Dept. of Insurance
902 West Tower
2 Martin Luther King, Jr. Drive
Atlanta, GA 30334