Section 3 AAC 28.592 - Permitted compensation arrangements(a) An insurer, hospital or medical service corporation, or fraternal benefit society may provide commission or other compensation to an agent for the sale of a long-term care insurance policy or certificate only if the first year commission or other first year compensation is not more than 200 percent of the commission or other compensation paid for selling or servicing the policy or certificate in the second year or period.(b) The commission or other compensation provided in renewal years must be the same as that provided in the second year or period and must be provided for a reasonable number of renewal years.(c) An entity may not provide compensation to its agents or other producers and an agent or producer may not receive compensation greater than the renewal compensation payable by the replacing Insurer on renewal policies.(d) For purposes of this section, "compensation" includes pecuniary or non-pecuniary remuneration relating to the sale or renewal of the policy or certificate including bonuses, gifts, prizes, awards, and finder's fees.Eff. 3/27/2022, Register 241, April 2022Authority:AS 21.06.090
AS 21.53.090