Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 125 - Regulation 92- Military Sales Practices › Section XIII-12513 - Practices Declared False, Misleading, Deceptive or Unfair Regardless of Location

Current through Register Vol. 50, No. 6, June 20, 2024
A. The
				following acts or practices by an insurer or insurance producer constitute
				corrupt practices, improper influences or inducements and are declared to be
				false, misleading, deceptive or unfair:
1.
				submitting, processing or assisting in the submission or processing of any
				allotment form or similar device used by the United States Armed Forces to
				direct a service member's pay to a third party for the purchase of life
				insurance. The foregoing includes, but is not limited to, using or assisting in
				using a service member's "MyPay" account or other similar internet or
				electronic medium for such purposes. This Subsection does not prohibit
				assisting a service member by providing insurer or premium information
				necessary to complete any allotment form;
2. knowingly receiving funds from a service
				member for the payment of premium from a depository institution with which the
				service member has no formal banking relationship. For purposes of this
				Section, a formal banking relationship is established when the depository
				institution:
a. provides the service member a
				deposit agreement and periodic statements and makes the disclosures required by
				the Truth in Savings Act,  12 U.S.C., §
												4301  et seq. and the regulations
				promulgated thereunder; and
b.
				permits the service member to make deposits and withdrawals unrelated to the
				payment or processing of insurance premiums;
3. employing any device or method or entering
				into any agreement whereby funds received from a service member by allotment
				for the payment of insurance premiums are identified on the service member's
				Leave and Earnings Statement or equivalent or successor form as "Savings" or
				"Checking" and where the service member has no formal banking relationship as
				defined in §12513. A 2;
4. entering
				into any agreement with a depository institution for the purpose of receiving
				funds from a service member whereby the depository institution, with or without
				compensation, agrees to accept direct deposits from a service member with whom
				it has no formal banking relationship;
5. using DOD personnel, directly or
				indirectly, as a representative or agent in any official or unofficial capacity
				with or without compensation with respect to the solicitation or sale of life
				insurance to service members who are junior in rank or grade, or to the family
				members of such personnel;
6.
				offering or giving anything of value, directly or indirectly, to DOD personnel
				to procure their assistance in encouraging, assisting or facilitating the
				solicitation or sale of life insurance to another service member;
7. knowingly offering or giving anything of
				value to a service member with a pay grade of E-4 or below for his or her
				attendance to any event where an application for life insurance is
				solicited;
8. advising a service
				member with a pay grade of E-4 or below to change his or her income tax
				withholding or state of legal residence for the sole purpose of increasing
				disposable income to purchase life insurance.