Ohio Administrative Code
Title 3901 - Department of Insurance
Chapter 3901-6 - Life Insurance
Section 3901-6-03 - Life insurance disclosure
Current through all regulations passed and filed through September 16, 2024
(A) Purpose
The purpose of this rule is to assist consumers by requiring insurers to deliver information about life insurance policies that will better allow those consumers to select the most appropriate policy for their needs, improve their understanding of the policy's basic features, and improve the consumer's ability to evaluate the relative costs of different policies.
(B) Authority
This rule is promulgated pursuant to the authority vested in the superintendent under sections 3901.041 , 3901.21 , 3901.212, and 3905.28 of the Revised Code.
(C) Scope
(D) Definitions
"An explanation of the intended use of these indexes is provided in the Life Insurance Buyer's Guide."
The policy summary must consist of a separate document. All information required to be disclosed must be set out in such a manner as not to minimize or render any portion obscure. Any amounts which remain level for two or more years of the policy may be represented by a single number if it is clearly indicated what amounts are applicable for each policy year. Amounts in paragraph (D)(6)(e) of this rule are to be listed in total, not on a per thousand nor per unit basis. If more than one insured is covered under one policy or rider, death benefits are to be displayed separately for each insured or for each class of insureds if death benefits do not differ within the class. Zero amounts are to be displayed as a zero and not as a blank.
(E) Duties of insurers
(F) Special plans
This paragraph modifies the application of this rule as indicated for certain special plans of life insurance:
All indexes and other data are to be displayed assuming specific schedules of anticipated premiums and death benefits at issue.
In addition to all other information required by this rule, the policy summary shall indicate when the policy will expire based on the interest rates and mortality and other charges guaranteed in the policy and the anticipated or assumed annual premiums shown in the policy summary.
(G) General rules
(H) Failure to comply
Failure of an insurer or an agent to provide or deliver the buyer's guide, a policy summary or policy data as provided in paragraphs (E) and (F) of this rule, constitute an omission which misrepresents the benefits, advantages, conditions or terms of an insurance policy. In addition to any other penalties provided by the laws of this state, a violation of this rule is an unfair and deceptive act or practice under section 3901.21 of the Revised Code.
(I) Severability
If any portion of this rule or the application thereof to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the rule or related rules which can be given effect without the invalid portion or application, and to this end the provisions of this rule are severable.