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§ 477b.2. Notice of compensation

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 40 P.S. Insurance

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 40 P.S. Insurance (Refs & Annos)
Chapter 2. Insurance Companies (Refs & Annos)
Article III. General Provisions Relating to Insurance Companies, Associations, and Exchanges (Refs & Annos)
40 P.S. § 477b.2
§ 477b.2. Notice of compensation
Currentness
(a) In the case of a policy issued to an association on a group basis, if compensation of any kind will or may be paid to a policyholder or a sponsoring or endorsing entity, the insurer shall cause to be distributed to prospective insureds, in a written notice, that compensation will or may be paid.
(b) Such notice shall be distributed:
(1) Whether compensation is direct or indirect; and
(2) Whether such compensation is paid to or retained by the policyholder or sponsoring or endorsing entity, or paid to or retained by a third party at the direction of the policyholder or a sponsoring or endorsing entity, or any entity affiliated therewith by way of ownership, contract or employment.
(c) The notice required by this section shall be placed on or accompany any application or enrollment form provided to prospective insureds.
(d) For purposes of this section, a “sponsoring or endorsing entity” means an organization which has arranged for the offering of a program of insurance in a manner which communicates that eligibility for participation in the program is dependent upon affiliation with such organization or that it encourages participation in the program.

Credits

1921, May 17, P.L. 682, art. III, § 354.2, added 1994, Feb. 17, P.L. 92, No. 9, § 4, effective in 90 days.
40 P.S. § 477b.2, PA ST 40 P.S. § 477b.2
Current through Act 10 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
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