§ 26-42-116 — Prohibited advertisement of association chapter in insurance sales; notice

Wyoming § 26-42-116

• Jurisdiction: Wyoming
• Title 26: Insurance Code
• Ch. 42: WYOMING LIFE AND HEALTH INSURANCE

Text

(a) No person including a member insurer, agent or
affiliate of an insurer shall make, publish, disseminate,
circulate or place before the public, or cause directly or
indirectly to be made, published, disseminated, circulated or
placed before the public in any newspaper, magazine or other
publication, in the form of a notice, circular, pamphlet, letter
or poster, over any radio station or television station, or in
any other way, any advertisement, announcement or written or
oral statement which uses the existence of the association of
this state for the purpose of sales, solicitation or inducement
to purchase any form of insurance or other coverage covered by
this act. This subsection shall not apply to the association or
any other entity which does not sell or solicit insurance or
health maintenance organization coverage.
(b) Within one hundred eighty (180) days of the effective
date of this act, the association shall prepare a summary
document describing the general purposes and current limitations
of the act and complying with subsection (c) of this section and
submit it to the commissioner for approval. Sixty (60) days
after receiving approval, no member insurer may deliver a policy
or contract described in W.S. 26-42-103(b) to a policy owner,
contract owner, certificate holder or enrollee unless the
document provided in subsections (b) and (c) of this section is
delivered to the policy owner, contract owner, certificate
holder or enrollee prior to or at the time of delivery of the
policy or contract except if subsection (d) of this section
applies. The document shall be available upon request by a
policy owner, contract owner, certificate holder or enrollee.
The distribution, delivery or contents or interpretation of the
document shall not mean that either the policy or the contract
or the policy owner, contract owner, certificate holder or
enrollee would be covered in the event of impairment or
insolvency of a member insurer. The description document shall
be revised by the association as required by this act. Failure
to receive the document does not give the policy owner, contract
owner, certificate holder or enrollee any greater rights than
those stated in this act.
(c) The document prepared under subsection (b) of this
section shall contain a clear and conspicuous disclaimer on its
face. The commissioner shall promulgate a rule establishing the
form and content of the disclaimer. The disclaimer shall:
(i) State the name and address of the life and health
insurance guaranty association and insurance department;
(ii) Prominently warn the policy owner, contract
owner, certificate holder or enrollee that the association may
not cover the policy or contract or if coverage is available, it
will be subject to substantial limitations and exclusions and
conditioned on continued residence in the state;
(iii) State that the member insurer and its agents
are prohibited by law from using the existence of the
association for the purpose of sales, solicitation or inducement
to purchase any form of insurance or health maintenance
organization coverage;
(iv) Emphasize that the policy owner, contract owner,
certificate holder or enrollee should not rely on coverage under
the association when selecting an insurer or health maintenance
organization;
(v) Provide other information as directed by the
commissioner.
(d) Insurers and agents shall deliver the document and
disclaimer described under subsections (b) and (c) of this
section when a customer is solicited if a "free look" period is
not provided in the policy.
(e) Repealed By Laws 2014, Ch. 21, § 2.