376.756. Summary document, association to prepare, when, contents--policy not covered by guaranty association to contain notice, form determined by director.
Summary document, association to prepare, when, contents--policy notcovered by guaranty association to contain notice, form determined bydirector.
376.756. 1. Within one hundred eighty days of August 13, 1988, theassociation shall prepare a summary document describing the general purposesand current limitations of the act and complying with subsection 2 of thissection. This document should be submitted to the director for approval.Sixty days after receiving such approval, no insurer may deliver a policy orcontract described in subsection 2 of section 376.717 to a policy or contractholder unless the document is delivered to the policy or contract holder priorto or at the time of delivery of the policy or contract except if subsection 3of this section applies. The document should also be available upon requestby a policyholder. The distribution, delivery, or contents or interpretationof this document shall not mean that either the policy or the contract or theholder thereof would be covered in the event of the impairment or insolvencyof a member insurer. The description document shall be revised by theassociation as amendments to the act may require. Failure to receive thisdocument does not give the policyholder, contract holder, certificate holder,or insured any greater rights than those stated in sections 376.715 to376.758*.
2. The document prepared under subsection 1 of this section shallcontain a clear and conspicuous disclaimer on its face. The director shallpromulgate a rule establishing the form and content of the disclaimer. Thedisclaimer shall:
(1) State the name and address of the life and health insurance guarantyassociation and department of insurance, financial institutions andprofessional registration;
(2) Prominently warn the policy or contract holder that the Missourilife and health insurance guaranty association may not cover the policy or, ifcoverage is available, it will be subject to substantial limitations,exclusions and conditioned on continued residence in the state;
(3) State that the insurer and its agents are prohibited by law fromusing the existence of the life and health insurance guaranty association forthe purpose of sales, solicitation or inducement to purchase any form ofinsurance;
(4) Emphasize that the policy or contract holder should not rely oncoverage under the Missouri life and health insurance guaranty associationwhen selecting an insurer;
(5) Provide other information as directed by the director.
3. No insurer or agent may deliver a policy or contract described insubsection 2 of section 376.717 and excluded under subsection 3 of section376.717 from coverage under the provisions of sections 376.715 to 376.758*unless the insurer or agent, prior to or at the time of delivery, gives thepolicy or contract holder a separate written notice which clearly andconspicuously discloses that the policy or contract is not covered by theMissouri life and health insurance guaranty association. The director shallby rule specify the form and content of the notice.
(L. 1988 S.B. 430 § 36)*Words "in this act" appear in original rolls. S.B. 430 (1988) contains numerous sections. Consult Disposition of Sections table for definitive listing.