3 Colo. Code Regs. § 702-1-2-17-5
Current through Register Vol. 47, No. 22, November 25, 2024
Section 3 CCR 702-1-2-17-5 - Disclosing CompensationA. All producers who sell health care insurance shall disclose his or her standard compensation that may be received. The standard compensation may be disclosed as a percentage or fixed amount, depending on how the commission is paid.B. All compensation shall be disclosed by the health producer prior to finalizing the sale of health care insurance.C. The producer disclosure requirements apply to both sales of new policies and policy renewals. The producer shall maintain written certification that he or she has provided the required disclosure to a policyholder. This may be in the form of Certificate of Mailing or Hand Delivery signed by the producer or a copy of an email to the policyholder. The Colorado Division of Insurance will not provide or approve forms used by producers for this disclosure. The written certification of delivery or copy of the email to the policyholder must be retained by the producer pursuant to Colorado Insurance Regulation 1-1-7 for the current calendar year and two (2) prior years.D. In some instances, a producer may sell a product for an insurer but will not be compensated by that insurer. The compensation may come from the insurer's parent or other affiliate, or from a third party. The source of the producer's standard compensation must be disclosed.E. Any contingent or additional compensation that may be received by the producer shall be disclosed.37 CR 11, June 10, 2014, effective 6/30/201437 CR 11, June 10, 2014, effective 7/1/201438 CR 09, May 10, 2015, effective 6/1/201538 CR 20, October 25, 2015, effective 11/15/201540 CR 19, October 10, 2017, effective 11/1/201740 CR 21, November 10, 2017, effective 12/1/201740 CR 21, November 10, 2017, effective 1/1/201841 CR 21, November 10, 2018, effective 12/1/201843 CR 21, November 10, 2020, effective 12/1/202045 CR 21, November 10, 2022, effective 11/30/2022