§ 27-62-4 - Policies to be illustrated. - Rhode Island Statutes

SECTION 27-62-4

   § 27-62-4  Policies to be illustrated.– (a) Each insurer marketing policies to which this chapter is applicable shallnotify the commissioner whether a policy form is to be marketed with or withoutan illustration. For all policy forms being actively marketed on January 1,1999, the insurer shall identify in writing those forms and whether or not anillustration will be used with them. For policy forms filed after January 1,1999, the identification shall be made at the time of filing. Any previousidentification may be changed by notice to the commissioner.

   (b) If the insurer identifies a policy form as one to bemarketed without an illustration, any use of an illustration for any policyusing that form prior to the first policy anniversary is prohibited.

   (c) If a policy form is identified by the insurer as one tobe marketed with an illustration, a basic illustration prepared and deliveredin accordance with this chapter is required, except that a basic illustrationneed not be provided to individual members of a group or to individuals insuredunder multiple lives coverage issued to a single applicant unless the coverageis marketed to these individuals. The illustration furnished an applicant for agroup life insurance policy or policies issued to a single applicant onmultiple lives may be either an individual or composite illustrationrepresentative of the coverage on the lives of members of the group or themultiple lives covered.

   (d) Potential enrollees of non-term group life subject tothis chapter shall be furnished a quotation with the enrollment materials. Thequotation shall show potential policy values for sample ages and policy yearson a guaranteed and non-guaranteed basis appropriate to the group and thecoverage. This quotation shall not be considered an illustration for purposesof this chapter, but all information provided shall be consistent with theillustrated scale. A basic illustration shall be provided at delivery of thecertificate to enrollees for non-term group life who enroll for more than theminimum premium necessary to provide pure death benefit protection. Inaddition, the insurer shall make a basic illustration available to any non-termgroup life enrollee who requests it.