18 Del. Admin. Code § 1404-24.0
Current through Register Vol. 28, No. 5, November 1, 2024
Section 1404-24.0 - Standards for Marketing24.1 Every insurer, health care service plan or other entity marketing long-term care insurance coverage in this state, directly or through its producers, shall: 24.1.1 Establish marketing procedures to assure that any comparison of policies by its agents or other producers will be fair and accurate.24.1.2 Establish marketing procedures to assure excessive insurance is not sold or issued.24.1.3 Display prominently by type, stamp or other appropriate means, on the first page of the outline of coverage and policy, the following: "Notice to Buyer: This policy may not cover all of the costs associated with long-term care incurred by the buyer during the period of coverage. The buyer is advised to review carefully all policy limitations."24.1.4 Inquire and otherwise make every reasonable effort to identify whether a prospective applicant or enrollee for long-term care insurance already has accident and sickness or long-term care insurance and the types and amounts of any such insurance.24.1.5 Every insurer or entity marketing long-term care insurance shall establish auditable procedures for verifying compliance with Section 24.0 of this regulation.24.1.6 If the state of Delaware is the state in which the policy or certificate is delivered or issued for delivery, the insurer shall, at solicitation, provide written notice to the prospective policyholder or certificate holder that the Delaware Medicare Assistance Bureau (DMAB), formerly known as the Elderinfo Program, a senior counseling program approved by the Commissioner, is available and the name, address and telephone number of the DMAB.24.2 In addition to the practices prohibited in 18 Del.C. Ch. 23, Unfair Trade Practices, the following acts and practices are prohibited:24.2.1 Twisting. Knowingly making any misleading representation or incomplete or fraudulent comparison of any insurance policies or insurers for the purpose of inducing, or tending to induce, any person to lapse, forfeit, surrender, terminate, retain, pledge, assign, borrow on or convert any insurance policy or to take out a policy of insurance with another insurer.24.2.2 High Pressure Tactics. Employing any method of marketing having the effect of or tending to induce the purchase of insurance through force, fright, threat, whether explicit or implied, or undue pressure to purchase or recommend the purchase of insurance.24.2.3 Cold lead advertising. Making use directly or indirectly of any method of marketing which fails to disclose in a conspicuous manner that a purpose of the method of marketing is solicitation of insurance and that contact will be made by an insurance agent or insurance company.18 Del. Admin. Code § 1404-24.0
2 DE Reg. 2113 (05/01/99)
25 DE Reg. 714 (1/1/2022) (Final)