Annuities in Tennessee
Learn the basics of fixed and fixed indexed annuities in Tennessee: who oversees annuity sales, how the free-look period works, what the state guaranty association is and which questions to ask before you buy. This page is general education. Laws, limits and taxes change often, so a licensed professional can go over what applies in Tennessee today.
Good to know: this page is general education, not tax, legal or financial advice. Laws and taxes change often, and this page was last reviewed October 28, 2026. For the current rules in Tennessee, book a call and a licensed professional can go over what applies today.
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Licensed professionals can only help people in states where they are licensed. The licensed partner confirms whether it can help you in Tennessee when you reach out.
Here is general background on six topics that come up with fixed and fixed indexed annuities in Tennessee, gathered from public sources as of October 28, 2026. Laws and limits change, so treat these as a starting point and confirm the current details before you decide anything.
Tennessee's replacement rules give you 20 days after delivery to return an annuity that replaces another contract. The NAIC summary lists no general return period for new individual annuities.
Source: Tenn. Comp. R. & Regs. 0780-01-24-.04 and 0780-01-24-.07
Yes. Tennessee amended its suitability in annuity transactions rule to add the best interest standard, effective January 1, 2024. Producers must act in your best interest before recommending an annuity.
Source: Tenn. Comp. R. & Regs. 0780-01-86-.07
Tennessee Life and Health Insurance Guaranty Association: $250,000 in present value of annuity benefits, including net cash surrender and net cash withdrawal values, per owner, subject to aggregate limits
Coverage has limits and conditions and applies only if an insurer becomes insolvent. It is not a reason to buy an annuity and does not replace checking an insurer’s financial strength. See current details at the association’s website.
Source: Tenn. Code Ann. §§ 56-12-201 to 56-12-220
How annuity income is taxed in Tennessee depends on current state and federal law and on your own situation, and tax rules change often. AnnuityTown does not give tax advice. A tax professional can tell you what applies to you.
Whether an annuity is protected from creditors in Tennessee depends on current law and the facts of each situation. AnnuityTown does not give legal advice. An attorney licensed in Tennessee can tell you what applies to you.
Tennessee Department of Commerce and Insurance licenses insurance professionals, oversees insurers and handles consumer complaints in Tennessee.
Visit the Tennessee Department of Commerce and Insurance or call 800-342-4029.
A licensed professional should answer these clearly. You never need to decide during the first conversation.
Ask what it costs to take money out early, and how much you can withdraw each year without a charge.
For a fixed annuity, ask how long the rate is set. For a fixed indexed annuity, ask about caps, participation rates and spreads.
Write down the date. Tennessee law gives you a set number of days to review the contract and return it.
Guarantees depend on the issuing insurer’s claims-paying ability. Ask about the insurer’s financial strength ratings.
Ask how federal and state taxes apply to your situation, and check with a tax professional.
Annuities are not insured by the FDIC, and contract guarantees depend on the issuing insurer's claims-paying ability. If an insurer becomes insolvent, the Tennessee Life and Health Insurance Guaranty Association may provide limited coverage of up to $250,000 in present value of annuity benefits per owner. That coverage has conditions and limits, so it does not replace a review of the insurer's financial strength. This is general information as of the last review, and laws and limits can change.
How annuity income is taxed in Tennessee depends on current state and federal law and on your own situation, and tax rules change often. AnnuityTown does not give tax advice. A tax professional can tell you what applies to you, and a licensed professional can explain how annuities generally work.
The NAIC summary lists a 20-day return period for annuities that replace another contract under Tennessee's replacement rules. It lists no general return period for new individual annuities. Check your contract for the exact return instructions and the refund terms. This is general information as of the last review, and laws and limits can change.
Whether an annuity is protected from creditors in Tennessee depends on current law and the facts of each situation, and these laws change. AnnuityTown does not give legal advice. An attorney licensed in Tennessee can tell you what applies to you.
The Tennessee Department of Commerce and Insurance regulates insurers and producers who sell annuities in the state. Its Consumer Insurance Services section helps consumers with questions and disputes at 1-800-342-4029. This is general information as of the last review, and laws and limits can change.
This page is for general educational purposes only. AnnuityTown is not a law firm, tax advisor, financial advisor or insurance company, and nothing on this page is legal, tax, investment or insurance advice or a recommendation. State laws, limits and tax rules change often, and this page is not updated continuously, so it may not reflect current law (last reviewed October 28, 2026). Do not rely on it to make a decision.
Before you act, confirm the current rules with your contract, the Tennessee Department of Commerce and Insurance, a tax professional or an attorney. A licensed professional with the licensed partner can also go over the current rules for Tennessee on a call.
Rules change often, so you do not have to keep up with them alone. A licensed professional can go over the current rules in Tennessee and the fixed and fixed indexed annuities you are considering. For personal tax or legal advice, talk with a tax professional or attorney. The licensed partner confirms whether it can help in Tennessee.
*AnnuityTown is paid per qualified lead by the licensed partner company it connects you with.