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Creating Advertising Materials
Presenters:Betty Dabrowski, McHugh Consulting Resources, [email protected] Lam, McHugh Consulting Resource, [email protected] Mealer, Missouri Department of [email protected]
The information presented is intended to provide general information and discussion only. Nothing presented should be relied upon without independent research, application to specific facts, and/or consultation with legal counsel. The opinions and positions discussed do not necessarily represent common agreement or position of the Association of Insurance Compliance Professionals or its members, McHugh Consulting Resources, or any regulatory agency.
Advertising Regulations The Overall Goal of an Advertisement Types of Advertisements Best Practices Do’s and Don’ts Use of Disclosures Common Disclosures How to Handle…. Learn From Others’ Mistakes
There were bad ads….
Model Law 40 – Accident and Sickness advertising –Missouri 20 CSR 400-5.100
Model Law 570 – Life and Annuity advertising – Missouri 20 CSR 400-5.700
Model Law 880 – Unfair Trade Practices – Missouri Section 375.936 RSMo
Model Law 900 – Unfair Claims Practices – Missouri Section 375.1007 RSMo.
Model Law 40 – Accident and Sickness advertising
Missouri 20 CSR 400-5.100
Model Law 570 – Life and Annuity advertising
Missouri 20 CSR 400-5.700
Model Law 880 – Unfair Trade Practices
Missouri Section 375.936 RSMo
Model Law 900 – Unfair Claims Practices
Missouri Section 375.1007 RSMo
LTC—NAIC Model 641—Missouri 20 CSR 400-4.100(20)
Medicare Supplement—NAIC Model 660—Missouri 20 CSR 400-3.200(12)
Advertisements shall be truthful and not misleading in fact or by implication.
The form and content of an advertisement of a policy shall be sufficiently complete and clear so as to avoid deception.
It shall not have the capacity or tendency to mislead or deceive.
Whether an advertisement has the capacity or tendency to mislead or deceive is determined the overall impression that the advertisement reasonably may be expected to create upon a person of average education or intelligence within the segment of the public to which it is directed.
Institutional Advertisements – concept incorporated into Model 40
Invitation to contract – concept incorporated into Model 40
Invitation to inquire – concept incorporated into Model 40
Agent Product Training Radio presentationsBrochures Seminars & presentations Emails Social media platforms & postings Flyers Software & illustrationsLead generation materials Telephone sales scriptMagazine or newspaper trade ads Television commercialsMailers VideosPostcards Websites
Do Don’t
Clear disclosure of Insurer All stats have references Fair comparisons. Compare
apples to apples Watch your pictures/graphics Avoid anything that could be
misleading
Don’t hide disclosures No stats older than 2 years Avoid derogatory statements
about competitors No scare tactics, exaggeration No absolutes unless have info
to back it up No material omissions
Do Don’t
Make sure advertisement comports with policy
Avoid anything that could be misleading
Don’t exaggerate the benefits or minimize or fail to disclose limitations
Avoid advertisements with special or introductory offers unless there is very clear disclosure of all terms
Phrases or sentences regularly used to provide the customer with more complete information are commonly referred to as legends, footnotes or disclosures. The purpose of a disclosure is to reveal or make some point known, while a footnote generally provides a note of reference, a comment, or additional explanation subordinate to the main text.
Depending on the material, some disclosures are considered material information that must be included in the body of the text.
Disclosures deemed material to the consumer's understanding of the material may not be minimized or made to seem less important than any other information provided.
Disclosures must be displayed in font size at least as large as the majority of the body copy of the piece and no smaller than 10 point font. They should not be minimized. Generally, multiple disclosures should not be lumped together.
We nor any agent representing us are not authorized to give tax or legal advice. You should consult with and rely on your own tax and legal advisors regarding your particular situation.
Not affiliated with any government agency. By responding to this information, you may be contacted by an
insurance agent. The hypothetical investment results are for illustrative purposes
only and should not be deemed a representation of past or future results. [Actual investment results may be more or less than those shown.] This illustration does not represent any specific product and/or services.
Not FDIC insured, May lose value, No bank guarantee. The Plan is underwritten by XYZ Insurance Company, City,
ST, and may vary in accordance with state laws. Some products and benefits may not be available in all states. Certain restrictions and variations apply. Consult policy for all limitations and exclusions. For exact terms and conditions, please refer to the contract.
Policies are subject to underwriting approval.
Multi-State Marketing Material
Multiple Product Line Brochures
Common Objections From States
Market Conduct Exams
