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-.06 - Deceptive Words, Phrases or Illustrations Prohibited

Current through Rules and Regulations filed through June 27, 2024
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, and/or offer is made
				to refund the premium if the purchaser is not satisfied, does not remedy
				misleading statements.
2. No
				advertisement shall state or imply that all costs of hospitalization or medical
				expense will be paid, or that all income will be replaced by benefits, unless
				the policy is without limitation or restriction in any form. No advertisement
				shall contain or use words or phrases such as: "all;" "full;" "complete;"
				"comprehensive;" "liberal;" "unlimited;" "as high as;" "fills all gaps;" "full
				coverage;" "complete protection;" "all coverage;" "deductibles covered;" "this
				policy will help pay your hospital and surgical bill;" "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); "salary replacement;" "wage continuation;" or similar words and
				phrases, to imply generosity or liberality or in a manner which exaggerates any
				benefits beyond the terms of the policy.
3. No advertisement shall 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."
4. No
				advertisement shall contain or use identifying terms, words, or phrases which
				do not correctly identify the policy. (See Rule
				120-2-12-.05(6).)
5. No advertisement of a benefit for which
				payment is conditional upon the incurrence of any medical expenses shall use
				words or phrases such as "tax free;" "extra cash;" "extra income;" "extra pay;"
				or substantially similar words or phrases that might 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 any illness,
				injury, condition, or confinement in a hospital or similar facility.
6. No advertisement of a hospital or other
				similar facility confinement benefit shall advertise that the amount of 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 actual confinement.
7. No
				advertisement of a policy covering only one disease or 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.
8. An advertisement or
				a direct response insurance product shall not state or 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.
9. No advertisement shall contain or use any
				statement relating to time within which claims are paid (within 24 to 48 hours,
				etc.), unless the policy being advertised actually requires and guarantees
				payment within such designated period.
10. No advertisement shall imply that a
				company frequently and routinely pays specified sums for any type of accident
				or sickness when, in fact, only certain specified accidents or illnesses are
				covered.
Ga. L. 1960, pp. 289 to
				  755.