Section 500.1204f - Sale, solicitation, or negotiation of long-term care insurance; program of instruction required.
THE INSURANCE CODE OF 1956 (EXCERPT)
Act 218 of 1956
500.1204f Sale, solicitation, or negotiation of long-term care insurance; program of instruction required.
Sec. 1204f.
(1) Each insurer that sells, solicits, or negotiates long-term care insurance shall ensure that each producer whose duties include selling, soliciting, or negotiating long-term care insurance completes a program of instruction as described in subsection (3) before selling, soliciting, or negotiating long-term care insurance.
(2) A program of instruction required under this section may be provided in conjunction with other producer training or separately. To satisfy subsection (1), a producer may document to an insurer that he or she has obtained training as described in subsection (3) from any of the following:
(a) Any insurer that sells, solicits, or negotiates long-term care insurance.
(b) A program of instruction qualified under section 1204a.
(c) A program of instruction qualified under section 1204c.
(3) A program of instruction required under this section shall consist of topics related to long-term care insurance and long-term care services, including, but not limited to, all of the following:
(a) State regulations and requirements, including, but not limited to, laws relating to adult financial exploitation.
(b) Available long-term care services and providers.
(c) Changes or improvements in long-term care services or providers.
(d) Alternatives to the purchase of private long-term care insurance.
(e) Differences in eligibility for benefits and tax treatment between policies intended to be federally qualified and those not intended to be federally qualified.
(f) The effect of inflation in eroding the value of benefits and the importance of inflation protection.
(g) Consumer suitability standards and guidelines.
(4) A program of instruction required under this section shall not include any training that is solely oriented to the sales or marketing of an insurer-specific long-term care product.
History: Add. 2006, Act 442, Imd. Eff. Oct. 19, 2006
Popular Name: Act 218