Oregon Administrative Rules › Chapter 836 - DEPARTMENT OF CONSUMER AND BUSINESS SERVICES, INSURANCE REGULATION › Division 80 - TRADE PRACTICES › Section 836-080-0005 - Definitions

Current through Register Vol. 63, No. 7, July 1, 2024
(1)
			 "Direct-response solicitation" means a solicitation through a sponsoring or
			 endorsing entity or individually solely through mails, telephone, the Internet
			 or other mass communication media.
(2) "Existing insurer" means the insurer
			 whose policy or contract is or will be changed or affected in a manner
			 described within the definition of "replacement".
(3) "Existing policy" means an individual
			 life insurance policy or annuity policy in force, including a policy under a
			 binding or conditional receipt or a policy that is within an unconditional
			 refund period.
(4) "Financed
			 purchase" means the purchase of a new policy involving the actual or intended
			 use of funds obtained by the withdrawal or surrender of, or by borrowing from
			 values of an existing policy to pay all or part of any premium due on the new
			 policy. For purposes of a regulatory review of an individual transaction only,
			 if a withdrawal, surrender or borrowing involving the policy values of an
			 existing policy is used to pay premiums on a new policy owned by the same
			 policyholder and issued by the same insurer within four months before or 13
			 months after the effective date of the new policy, it will be deemed prima
			 facie evidence of the policyholder's intent to finance the purchase of the new
			 policy with existing policy values. This prima facie standard is not intended
			 to increase or decrease the monitoring obligations contained in OAR
			 836-080-0022(1)(e).
(5)
			 "Illustration" means a presentation or depiction that includes non-guaranteed
			 elements of a policy of life insurance over a period of years as defined in OAR
			 836-051-0500  to 836-051-0600.
(6)
			 "Policy summary" has the following meanings:
(a) For policies or contracts other than
			 universal life policies, the term means a written statement regarding a policy
			 or contract that shall contain to the extent applicable, but need not be
			 limited to, the following information: current death benefit; annual contract
			 premium; current cash surrender value; current dividend; application of current
			 dividend; and amount of outstanding loan.
(b) For universal life policies, the term
			 means a written statement that shall contain at least the following
			 information: the beginning and end date of the current report period; the
			 policy value at the end of the previous report period and at the end of the
			 current report period; the total amounts that have been credited or debited to
			 the policy value during the current report period, identifying each by type
			 (e.g., interest, mortality, expense and riders); the current death benefit at
			 the end of the current report period on each life covered by the policy; the
			 net cash surrender value of the policy as of the end of the current report
			 period; and the amount of outstanding loans, if any, as of the end of the
			 current report period.