Connecticut Administrative Code › Title 38a - Insurance Department › 819 - Unfair Insurance Practices: Advertisements of Accident and Sickness Insurance › Section 38a-819-6 - Advertisements of benefits payable, losses covered or premiums payable

Current through July 10, 2024
A.
Deceptive words, phrases, or
			 illustrations prohibited.
(1) No
			 advertisement shall omit information or use words, phrases, statements,
			 references or illustrations if the omission of such information or use of such
			 words, phrases, statements, references or illustrations has the capacity,
			 tendency or effect of misleading or deceiving purchasers or prospective
			 purchasers as to the nature or extent of any policy benefit payable, loss
			 covered or premium payable. The fact that the policy offered is made available
			 to a prospective insured for inspection prior to consummation of the sale or an
			 offer is made to refund the premium if the purchaser is not satisfied does not
			 remedy misleading statements.
(2)
			 No advertisement shall contain or use words or phrases such as "all," "full,"
			 "complete," "comprehensive," "unlimited," "up to," "as high as," "this policy
			 will help pay your hospital and surgical bills," "this policy will help fill
			 some of the gaps that Medicare and your present insurance leave out," "this
			 policy will help to replace your income" (when used to express loss of time
			 benefits), or similar words and phrases, in a manner which exaggerates any
			 benefits beyond the terms of the policy.
(3) An advertisement shall not contain
			 descriptions of a policy limitation, exception, or reduction, worded in a
			 positive manner to imply that it is a benefit, such as describing a waiting
			 period as a "benefit builder" or stating "even pre-existing conditions are
			 covered after two years." Words and phrases used in an advertisement to
			 describe such policy limitations, exceptions and reductions shall fairly and
			 accurately describe the negative features of such limitations, exceptions and
			 reductions of the policy offered.
(4) No advertisement of a benefit for which
			 payment is conditional upon confinement in a hospital or similar facility shall
			 use words or phrases such as "tax free," "extra cash," "extra income," "extra
			 pay," or substantially similar words or phrases because such words and phrases
			 have the capacity, tendency or effect of misleading the public into believing
			 that the policy advertised will, in some way, enable them to make a profit from
			 being hospitalized.
(5) No
			 advertisement of a hospital or other similar facility confinement benefit shall
			 advertise that the amount of the benefit is payable on a monthly or weekly
			 basis when, in fact, the amount of the benefit payable is based upon a daily
			 pro rata basis relating to the number of days of confinement. When the policy
			 contains a limit on the number of days of coverage provided, such limit must
			 appear in the advertisement.
(6) No
			 advertisement of a policy covering only one disease or a list of specified
			 diseases shall imply coverage beyond the terms of the policy. Synonymous terms
			 shall not be used to refer to any disease so as to imply broader coverage than
			 is the fact.
(7) An advertisement
			 for a policy providing benefits for specified illnesses only, such as cancer,
			 or for specified accidents only, shall clearly and conspicuously in prominent
			 type state the limited nature of the policy. The statement shall be worded in
			 language identical to, or substantially similar to the following: "THIS IS A
			 LIMITED POLICY," "THIS IS A CANCER ONLY POLICY."
(8) An advertisement of a direct response
			 insurance product shall not imply that because "no insurance agent will call
			 and no commissions will be paid to agents" that it is "a low cost plan," or use
			 other similar words or phrases because the cost of advertising and servicing
			 such policies is a substantial cost in the marketing of a direct response
			 insurance product.