The purpose of these regulations is to assure truthful and adequate disclosure of all material and relevant information in the advertising of disability insurance. This purpose is intended to be accomplished by the establishment of, and adherence to, certain minimum standards and guidelines of conduct in the advertising of disability insurance in a manner which prevents unfair competition among insurers and is conducive to the accurate presentation and description to the insurance buying public of a policy of such insurance offered through various advertising media. Subdivisions (a), (b) and (c) of Insurance Code Section 790.03 prohibit the transmitting or use of information in the form of advertisements or otherwise in this State in such a manner or of such substance that the insurance buying public may be deceived or misled. Since such sections of the Insurance Code establish only general standards, these regulations establish specific standards for advertisements relating to individual, group, blanket and selected group (franchise) disability insurance. These regulations are applicable to all persons and entities specified in Insurance Code Section 790.01 authorized to transact disability insurance in this State. The following specific standards for advertisements of disability insurance are hereby adopted.

Disclosure is one of the principal objectives of these regulations and this Section states specifically that the rules shall assure “truthful and adequate disclosure of all material and relevant information.” These rules specifically prohibit some previous advertising techniques.