Compilation of Rules and Regulations of the State of Georgia › Department 120 - OFFICE OF COMMISSIONER OF INSURANCE, SAFETY FIRE COMMISSIONER AND INDUSTRIAL LOAN COMMISSIONER › Chapter 120-2 - RULES OF COMMISSIONER OF INSURANCE › Subject 120-2-12 - ADVERTISING ACCIDENT AND SICKNESS INSURANCE › Rule 120-2-12-.10 - Testimonials or Endorsements by Third Parties

Current through Rules and Regulations filed through June 27, 2024
1. Testimonials used in advertisements must
				be genuine, represent the current opinion of the author, be applicable to the
				policy advertised, and be accurately reproduced. The insurer, in using a
				testimonial, makes as its own all of the statements contained therein, and the
				advertisement, including such statement, is subject to all the provisions of
				these Rules.
2. If the person
				making a testimonial, an endorsement, or an appraisal has a financial interest
				in the insurer or a related entity as a stockholder, director, officer,
				employee, or otherwise, such fact shall be prominently disclosed in the
				advertisement.
3. If a person is
				compensated for making a testimonial, endorsement or appraisal, such fact shall
				be prominently disclosed in the advertisement by language identical to, or
				substantially similar to the following: "THIS IS A PAID ENDORSEMENT." (This
				Rule does not require disclosure of union scale wages required by union rules
				if the payment is actually for such scale wages for TV or radio performances).
				For the purposes of these Rules, the payment of substantial amounts, directly
				or indirectly, to an endorser for "travel and entertainment" in connection with
				the filming or recording of TV or radio advertisements constitutes
				compensation, and disclosure of such compensation is required.
4. An advertisement shall not state or imply
				that an insurer or a policy has been approved or endorsed by any individual,
				group of individuals, society, association or other organization, unless such
				is the fact; and unless any proprietary relationship between an organization
				and the insurer is clearly, prominently and conspicuously disclosed. If the
				entity making the endorsement or testimonial has been formed by the insurer, or
				is owned or controlled by the insurer, or the person or persons who own or
				control the insurer, such fact shall be disclosed in the
				advertisement.
5. When a
				testimonial refers to benefits received under a policy, the specific claim
				data, including claim number, date of loss, and other pertinent information
				shall be retained by the insurer for inspection for a period of four years, or
				until the filing of the next regular report of examination of the insurer,
				whichever is the longer period of time.
6. For the purposes of these Rules, with
				regard to testimonials and endorsements by third parties, "Endorser" shall mean
				any individual, group of individuals, society, association or organization that
				endorses, approves or recommends an insurer, a policy, or plan of
				benefits.
7. No such testimonial,
				endorsement or appraisal shall be made in any form which constitutes a
				solicitation of insurance in this State, unless such endorser is currently
				licensed in Georgia to solicit insurance.
Ga. L. 1960, pp. 289 to
				  755.