Subject: S7-14-08

August 27, 2008

I am VERY much in favor of Rule 151A. I have met several clients that have been sold Equity Indexed annuities and none of them understand the product, and many are very disappointed that they got into something that is expensive to get out of. In every occasion I have offered to do a conference call with the client to their agent that sold the EIA or the Company that the product was sold through, rarely does the agent understand the product. My 78 year old aunt was sold an EIA after she had a stroke, did not understand the surrender charges or length of time the surrender charges would last. She has now passed away and the Beneficiaries still have to pay the surrender charges. The company says she signed that she was totally aware of all that the policy stated, because she signed the acceptance letter.

The extra license would help for the company to make sure that their agents understand the product. I am convinced that if the agent and the client really knew what the product was, there would be very few of these products sold. The agents, that are not 6 or 7 licensed, sell these by convincing the client they should fear the market, with NO regard for inflation, time horizon, or withdrawal needs. These products carry the highest commission rates and there is NO service offered after the sale. I have been a member of NAIFA since 1992. I am disappointed that NAIFA is Opposing 151A.

I have Qualified for Top of the Table 3 times, Court of the Table 3 times and Qualified for MDRT all 17 years, and have NEVER sold an EIA, nor will I. Dan G. Hesse Memphis TN.

Dan G Hesse, CFP®, CLU, CASL, ChFC, LUTCF
Financial Associate
Central-South Region
Thrivent Financial for Lutherans®