(a) Participation by the member must be voluntary. Under no circumstances may such coverage be directly or indirectly a condition to the approval of a loan, nor may such coverage be conditioned on the purchase of additional shares.

(b) The member who desires any such insurance shall indicate in writing that he or she understands that participation in the program is voluntary and the member shall sign such statement. The credit union shall retain such signed statement so long as the insurance coverage is in effect.

(c) Any member who desires any such insurance must execute a written authorization identifying any disbursements which the credit union is authorized to make on the member's behalf in payment of premiums on such insurance.

(d) No fee, compensation, commission, gift or reimbursement incidental or in any way related to the insurance transaction may be paid or given, directly or indirectly, to any officer, director, committee member, or employee of the credit union or to any person related to, or company affiliated with, such officer, director, committee member, or employee.

(e) Compensation for each insurance transaction may be paid by the insurance carrier or the insurance carrier's agent to the credit union to the extent permitted by the Insurance Code and the regulations of the Insurance Commissioner.

(f) Before making any plan or program of insurance available to members, the management of the credit union should satisfy itself that the plan or program is in the best interest of the members, and should make every effort to safeguard members against misrepresentation or deception by the insurer or plan sponsor.