NAC686A.560. Duties of insurers who solicit sales by direct response.

     1. Each insurer who solicits sales by direct response shall:

     (a) Inform its personnel who are engaged in making such sales of the requirements of the provisions of NAC 686A.510 to 686A.577, inclusive.

     (b) Require with each completed application for life insurance a statement, signed by the applicant, declaring whether or not an existing policy will be replaced.

     (c) Require the applicant to list existing policies that will be replaced and the names of the insurers under those existing policies.

     (d) Within 5 days after receiving an application, mail three copies of the notice to the applicant to be signed and returned.

     (e) If it is not the insurer for the existing policy, within 3 working days after receiving the signed notice and list of existing policies, send to the insurer under any existing policy, a copy of the notice.

     (f) Retain copies of the notice and copies of the policy summary given to the applicant for at least 3 years after the applicant signs the notice or until the conclusion of the next succeeding regular examination by the department of insurance of its state of domicile, whichever is later.

     2. The insurer shall not issue a policy until a signed copy of the notice has been received from the applicant.

     [Comm’r of Insurance, LH-3 § 16, eff. 1-4-80]—(NAC A 10-26-84)