West Virginia Code of State Rules › Agency 114 - Insurance Commission › Title 114 - LEGISLATIVE RULE INSURANCE COMMISSIONER › Series 114-82 - Military Sales Practices › Section 114-82-5 - Practices Declared False, Misleading, Deceptive or Unfair Regardless of Location

Current through Register Vol. XLI, No. 28, July 12, 2024
5.1. 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:
a. 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;
b.
				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:
1.
				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
2. Permits the service member to make deposits and
				withdrawals unrelated to the payment or processing of insurance premiums;
c. 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 subdivision b of this subsection;
d. 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;
e. 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;
f. 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;
g. 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 at
				any event where an application for life insurance is solicited; or
h. 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.