Pennsylvania Code › Title 31 - INSURANCE › Part I - General Provisions › Subpart E - Advertising of Insurance › Chapter 51 - GENERAL PROVISIONS › Subchapter A - GENERAL PROVISIONS › Section 51.1 - Definitions

Current through Register Vol. 54, No. 28, July 13, 2024
The following words and terms, when used in this chapter,
						have the following meanings, unless the context clearly indicates
						otherwise:
Advertisement
-Printed and published
						material, audio visual material and descriptive literature of a company used in
						direct mail, newspapers, magazines, radio scripts, TV scripts, billboards and
						similar displays; descriptive literature and sales aids of all kinds issued by
						a company, agent or broker for presentation to members of the insurance buying
						public, including but not limited to circulars, leaflets, booklets, depictions,
						illustrations and form letters; and prepared sales talks, presentations and
						material for use by agents, brokers or solicitors, and any representations made
						in connection therewith.
Commissioner
-The Commissioner of the
						Pennsylvania Insurance Department.
Company
-An association, individual,
						corporation, partnership, reciprocal or interinsurance exchange, Lloyds,
						hospital plan corporation, professional health services plan corporation,
						fraternal benefit society, beneficial society, voluntary nonprofit health
						service plan and any other legal entity issuing to Commonwealth residents a
						contract of insurance as defined in this chapter and subject to appropriate
						regulation by the Department.
Compliance standards
-The criteria by
						which an advertisement would be judged acceptable by the Department as not
						being deceptive, misleading or otherwise in violation of the Unfair Insurance
						Practices Act (40 P. S. §§
												1171.1-1171.15) or other applicable law or
						regulation.
Contract
-A policy, plan, certificate
						issued by a fraternal benefit society, agreement, statement of coverage,
						binder, rider or endorsement which provides insurance or service
						benefits.
Department
-The Insurance Department of
						the Commonwealth.
Exception
-A provision in a contract
						whereby coverage for a specified risk is entirely eliminated.
Invitation to inquire
-An advertisement
						which is designed to attract the reader's interest in the contract advertised
						so that he will inquire for further details and information.
Limitation
-A provision other than an
						exception or reduction which restricts coverage or benefits under the
						contract.
Mail-order solicitation
-An advertisement
						which is designed specifically to market a contract to a prospective insured
						where the application for the contract is made by mail. A mail-order
						solicitation does not include the following:
(i) Material which relates to the renewal of
					 an existing contract, when the renewal does not affect the benefits available,
					 coverage included or rates payable under the contract.
(ii) An invitation to inquire.
Publication
-The circulation of an
						advertisement by any means, whereby the advertisement may reasonably be
						expected to reach prospective or present policyholders in this
						Commonwealth.
Reduction
-A provision which reduces the
						amount of the benefit which would otherwise be payable either by limitation as
						to dollar amount or by limitation as to period of time.
This section cited in 31 Pa. Code §
													89.1 (relating to definitions);
						  and 31 Pa. Code §
													154.16 (relating to information
						  for enrollees).