N.M. Admin. Code § 13.9.17.11

Current through Register Vol. 35, No. 23, December 10, 2024

Section 13.9.17.11 - ACTS OR PRACTICES THAT LEAD TO CONFUSION REGARDLESS OF LOCATION

A. The following acts or practices by an insurer or insurance producer lead to confusion regarding source, sponsorship, approval or affiliation and are declared to be false, misleading, deceptive or unfair:

(1) making any representation, or using any device, title, descriptive name or identifier that has the tendency or capacity to confuse or mislead a service member into believing that the insurer, insurance producer or product offered is affiliated, connected or associated with, endorsed, sponsored, sanctioned or recommended by the United States government, the United States armed forces, or any state or federal agency or government entity; examples of prohibited insurance producer titles include, but are not limited to, "battalion insurance counselor," "unit insurance advisor," "servicemen's group life insurance conversion consultant" or "veteran's benefits counselor;" or

(2) soliciting the purchase of any life insurance product through the use of or in conjunction with any third party organization that promotes the welfare of or assists members of the United States Armed forces in a manner that has the tendency or capacity to confuse or mislead a service member into believing that either the insurer, insurance producer or insurance product is affiliated, connected or associated with, endorsed, sponsored, sanctioned or recommended by the United States government, or the United States armed forces.

B. Nothing in 13.9.17.11 NMAC shall be construed to prohibit a person from using a professional designation awarded after the successful completion of a course of instruction in the business of insurance by an accredited institution of higher learning. Such designations include, but are not limited to, chartered life underwriter, chartered financial consultant, certified financial planner, master of science in financial services, or masters of science financial planning.

C. The following acts or practices by an insurer or insurance producer lead to confusion regarding premiums, costs or investment returns and are declared to be false, misleading, deceptive or unfair:

(1) using or describing the credited interest rate on a life insurance policy in a manner that implies that the credited interest rate is a net return on premium paid; or

(2) excluding individually issued annuities, misrepresenting the mortality costs of a life insurance product, including stating or implying that the product "costs nothing" or is "free."

N.M. Admin. Code § 13.9.17.11

13.9.17.11 NMAC - N, 1/1/08