California Code of Regulations
Title 10 - Investment
Chapter 5 - Insurance Commissioner
Subchapter 3 - Insurers
Article 12 - Disability Insurance Advertisements
Section 2536.10 - Group or Quasi-Group Implications

An advertisement of a particular policy shall not state or imply that prospective insurers become group or quasi-group members covered under a group policy and as such enjoy special rates or underwriting privileges, unless such is the fact.

GUIDELINE 2536.10

This Section prohibits the use of representations to any segment of the population that a particular policy or coverage is available only to that or similar segments of the population as preferred risks when actually such policy or coverage is available to members of the public at large at the same rates. This rule prohibits an advertisement labeled "Now for Readers of X Magazine."

This Section prohibits the solicitation of a particular class, such as governmental employees, by use of advertisements which state or imply that their occupational status entitles them to reduced rates on a group or other basis when, in fact, the policy being advertised is sold only on an individual basis at regular rates.

1. Amendment filed 11-29-74; effective thirtieth day thereafter (Register 74, No. 48).