Proper identification by life insurance agents in contacts with prospective insureds

Issued and entered June 30, 1972 by Russell E. Van Hooser, Commissioner of Insurance

This Bulletin replaces Bulletin: LE 71-1 (not printed in this compilation), which is hereby withdrawn as of August 15, 1972.

The use by life insurance agents on business cards, other printed material, and in verbal presentations of such titles as "financial planners," "fiscal advisors," "investment counselor," and other titles which tend to lead prospective insureds to believe they are purchasing something other than insurance, is becoming increasingly prevalent in Michigan and is a matter of concern to the Insurance Bureau.

Section 2007 defines and proscribes certain "unfair and deceptive acts or practices in the business of insurance." It is the Insurance Bureau's opinion that the practices described above are encompassed within the "unfair and deceptive acts or practices" defined in Section 2007.

It is also the Insurance Bureau's opinion that other titles not described above, although not in themselves deceptive, are misleading unless all material using the term also contains the designation insurance "agent" or "life insurance agent" at least as prominently as the term in question.

The Bureau will apply the sanctions of Chapters 14 and 20 when such practices by life insurance agents are detected and proven.

It shall be the responsibility of the company to instruct its agents and to assure their compliance with this bulletin.