Section Ins 302.09 - Violations and Penalties(a) Any failure to comply with this rule shall be considered a violation of RSA 417:4. Examples of violations include: (1) Any deceptive or misleading information set forth in sales material;(2) Failing to ask the applicant in completing the application the pertinent questions regarding the possibility of financing or replacement;(3) The intentional incorrect recording of an answer;(4) Advising an applicant to respond negatively to any questions regarding replacement in order to prevent notice to the existing insurer; or(5) Advising a policy or contract owner to write directly to the company in such a way as to attempt to obscure the identity of the replacing producer or company.(b) Policy and contract owners have the right to replace existing life insurance policies or annuity contracts after indicating in or as a part of applications for new coverage that replacement is not their intention; however, patterns of such action by policy or contract owners of the same producer shall be deemed prima facie evidence of the producer's knowledge that replacement was intended in connection with the identified transactions, and these patterns of action shall be deemed prima facie evidence of the producer's intent to violate this rule.(c) Where it is determined that the requirements of this rule have not been met, the replacing insurer shall provide to the policy owner an in force illustration, if available, or policy summary for the replacement policy or available disclosure document for the replacement contract and the appropriate notice regarding replacements in Appendix A or C.(d) Any violations of these rules shall be subject to the penalties imposed by RSA 402-J:12 and RSA 417:10 or subject to such suspension or revocation of certificate of authority or license, or administrative fine not to exceed $2,500 per violation, as may be applicable under Title XXXVII.N.H. Admin. Code § Ins 302.09
#7537, eff 8-1-01; ss by #9571, eff 10-21-09
Amended by Volume XXXVII Number 37, Filed September 14, 2017, Proposed by #12375, Effective 10/21/2017, Expires 10/21/2027.