advertising by any 1 insurer, which includes all the affiliated companies of a group of
insurance companies under common management or control. This rule does not apply to the
use of a termination or cutoff date beyond which an individual application for a
guaranteed issue policy will not be accepted by an insurer in those instances where the
application has been set to the applicant in response to the applicant's request. It is also
inapplicable to solicitation by the group policyholder of employees or members of
a
particular group or association which otherwise would be eligible under specific provisions
of Act No. 218 of the Public Acts of 1956, as amended, being S500.100 et seq. of the Michigan
Compiled Laws, for group insurance.In cases where an insurance product is marketed on a direct
mail basis to prospective insureds by reason of some common relationship with
a
sponsoring organization, this rule shall be applied
organization.
separately
to
each sponsoring
(13) An advertisement of a particular policy shall not state or imply that prospective
insureds shall be or become members of a special class or group and as such enjoy special
rates, dividends, or underwriting privileges, unless such is the fact.
(14) An advertisement shall not make unfair or incomplete comparisons of policies,
benefits, dividends, or rates of other insurers. An advertisement shall not falsely or
unfairly describe other insurers or their policies, services, or methods of marketing.
(15) For individual deferred annuity products or deposit funds, excluding variable
annuities and investment annuities, all of the following provisions shall apply:
(a) Any illustrations or statements containing or based upon interest rates higher than
the guaranteed accumulation interest rates shall set forth with equal prominence
comparable
illustrations
or
statements containing or based upon the guaranteed
accumulation interest rates. Such higher interest rates shall not be greater than those
currently being credited by the company unless such higher rates have been publicly
declared by the company with an effective date for new issues not more than 3 months
subsequent to the date of declaration. Any illustrations shall be based on gross premiums.
(b) If an advertisement illustrates or states premiums, net interest rates, or accumulative
values, the actual relationship between the net and gross premium shall be disclosed in close
proximity thereto and with equal prominence, describing the first year and renewal charges,
including, but not limited to, expenses and annual contract, collection, and mortality
charges.
(c) If any contract does not provide a cash value or return of premium benefit due to
surrender or death prior to the commencement of payment of any annuity benefit, any
illustration or statements concerning such contracts shall prominently state that these
benefits are not provided.Return of premium or cash value shall not be referred to as a
death benefit.
History: 1984 AACS; 1997 AACS.
R 500.1379 Identification of insurer and policy.
Rule 9. (1) The name of the insurer shall be clearly identified. If any specific individual
policy is advertised, it shall be identified either by form number or other appropriate
description. An advertisement shall not use a trade name, an insurance group designation,
name of the parent company of the insurer, name of a particular division of the insurer,
service mark, slogan, symbol, or other device or reference without disclosing the name of
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