North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-06 - Accident and Health Insurance › Chapter 45-06-04 - Advertising Rules › Section 45-06-04-03 - Definitions

Current through Supplement No. 393, July, 2024
1. An "advertisement" for the purpose of this chapter
				  includes:
a .Printed and published material, audio visual material, and
				  descriptive literature of an insurer, agent, or broker used in direct mail,
				  newspapers, magazines, radio scripts, television scripts, billboards, and
				  similar displays;
b. Descriptive literature, identification cards, and sales
				  aids of all kinds used by an insurer, agent, or broker for presentation to
				  members of the insurance buying public, including, but not limited to,
				  circulars, business calling cards, lead cards, surveys, leaflets, booklets,
				  depictions, illustrations, and form letters; and
C- Prepared sales talks, presentations, and material for use
				  by agents, brokers, and solicitors.
2. "Exception" for the purpose of this chapter means any
				  provision in a policy whereby coverage for a specified hazard is entirely
				  eliminated; it is a statement or a risk not assumed under the policy.
3. "Institutional advertisement" for the purpose of this
				  chapter means an advertisement having as its sole purpose the promotion of the
				  reader's or viewer's interest in the concept of accident and sickness
				  insurance, or the promotion of the insurer.
4. "Insurer" for the purposes of this chapter includes any
				  individual, corporation, association, partnership, reciprocal exchange,
				  interinsurer, Lloyds, fraternal benefit society, nonprofit health service
				  corporation, health maintenance organization, and any other legal entity which
				  is defined as an "insurer" in the insurance code of this state and is engaged
				  in the advertisement of an insurance policy as "policy" is defined in this
				  section.
5. "Invitation to contract" for the purpose of this chapter
				  means an advertisement which is neither an invitation to inquire nor an
				  institutional advertisement.
6. "Invitation to inquire" for the purpose of this chapter
				  means an advertisement having as its objective the creation of a desire to
				  inquire further about the product and which is limited to a brief description
				  of the loss for which the benefit is payable, and which may contain:
3- The dollar amount of benefit payable, and/or
b. The period of time during which the benefit is payable;
				  provided the advertisement does not refer to cost. An advertisement which
				  specifies either the dollar amount of benefit payable or the period of time
				  during which the benefit is payable must contain a provision in effect as
				  follows:
"For costs and further details of the coverage, including
				  exclusions, any reductions or limitations and the terms under which the policy
				  may be continued in force, see your agent or write to the company."
7. "Limitation" for the purpose of this chapter means any
				  provision which restricts coverage under the policy other than an exception or
				  a reduction.
8. "Policy" for the purpose of this chapter includes any
				  policy, plan, certificate, contract, agreement, statement of coverage, rider,
				  or endorsement which provides disability benefits, or medical, surgical, or
				  hospital expense benefits, whether on an indemnity, reimbursement, service, or
				  prepaid basis, nursing home benefits, long-term care insurance benefits, and
				  medicare supplement benefits.
9. "Reduction" for the purpose of this chapter means any
				  provision which reduces the amount of the benefit; a risk of loss is assumed
				  but payment upon the occurrence of such loss is limited to some amount or
				  period less than would be otherwise payable had such reduction not been used.
General Authority: NDCC 26.1-04-08, 28-32-02
Law Implemented: NDCC 26.1-04-03(1), 26.1-04-03(2),
					 26.1-04-07