A. If a
basic illustration is used by an insurance producer or otherauthorized
representative of the insurer in the sale of a life insurance policy and the
policy is applied for as illustrated, a copy of that illustration, signed in
accordance with this regulation, shall be submitted to the insurer at the time
of policy application. A copy also shall be provided to the applicant.
If the policy is issued other than as applied for, a revised
basic illustration conforming to the policy as issued shall be sent with the
policy. The revised illustration shall conform to the requirements of the
regulation, shall be labeled "Revised Illustration" and shall be signed and
dated by the applicant or policy owner and producer or other authorized
representative of the insurer no later than the time the policy is delivered. A
copy shall be provided to the insurer and the policy owner.
B. If no illustration is used by an insurance
producer or other authorized representative in the sale of a life insurance
policy or if the policy is applied for other than as illustrated, the producer
or representative shall certify to that effect in writing on a form provided by
the insurer. On the same form the applicant shall acknowledge an understanding
that an illustration conforming to the policy as issued will be provided no
later than at the time of policy delivery. This form shall be submitted to the
insurer at the time of policy application.
If the policy issued, a basic illustration conforming to the
policy as issued shall be sent with the policy and signed no later than the
time the policy is delivered. A copy shall be provided to the insurerand the
policy owner.
C. If the
basic illustration or revised illustration is sent to the applicant or policy
owner by mail from the insurer, it shall include instructions for the applicant
or policy owner to sign the duplicate copy of the numeric summary page of the
illustration for the policy issued and return the signed copy to the insurer.
The insurer's obligation under this subsection shall be satisfied if it can
demonstrate that it has made a diligent effort to secure a signed copy of the
numeric summary page. The requirement to make a diligent effort shall be deemed
satisfied if the insurer includes in the mailing a self-addressed postage
prepaid envelope with instructions for the return of the signed numeric summary
page.
D. A copy of the basic
illustration and a revised basic illustration, if any, signed as applicable,
along with any certification that either no illustration was used or that the
policy was applied for other than as illustrated, shall be retained by the
insurer until three (3) years after the policy is no longer in force. A copy
need not be retained if no policy is issued.
