N.J. Admin. Code § 11:4-2.6

Current through Register Vol. 56, No. 9, May 6, 2024

Section 11:4-2.6 - Duties of the existing insurer

(a) Where a replacement is involved in the transaction, the existing insurer shall:

1. Retain and be able to produce all replacement notifications received, indexed by replacing insurer, for at least five years after replacement or until the conclusion of the next regular examination conducted by the Department, whichever is later;

2. Notify the policy or contract owner in writing within five business days of receipt of a notice referred to in (a)1 above that the policy or contract owner has the right to receive information regarding the existing policy or contract values, including, if available, an in force illustration, or a policy summary if an in force illustration cannot be produced. The insurer shall send the information within five business days of receipt of the request from the policy or contract owner; and

3. Upon receipt of a request to borrow, surrender or withdraw any policy values, send a notice advising the policy owner of the effect that the release of policy values will have on the non-guaranteed elements, face amount or surrender value of the policy from which the values are released. The notice shall be sent separately from the check if the check is sent to anyone other than the policy owner. In the case of consecutive automatic premium loans, the insurer is only required to send the notice at the time of the first loan.

N.J. Admin. Code § 11:4-2.6

Repeal and New Rule, R.2004 d.414, effective 11/1/2004 (operative January 30, 2005).
See: 36 New Jersey Register 2147(a), 36 New Jersey Register 4930(a).
Section was "Duties of insurers with respect to direct-response sales".