§431:10D-503  Duties of producers.  (a) A producer who initiates an application shall submit to the insurer, with or aspart of the application, a statement signed by both the applicant and theproducer as to whether the applicant has existing policies or contracts.  Ifthe answer is "no", the producer's duties with respect to replacementare complete.

(b)  If the applicant answered "yes"to the question regarding existing coverage referred to in subsection (a), theproducer shall present and read to the applicant, not later than at the time oftaking the application, a notice in a form  approved by the commissioner. However, no approval shall be required when amendments to the notice arelimited to the omission of references not applicable to the product being soldor replaced.  The notice shall be signed by both the applicant and the producerattesting that the notice has been read aloud by the producer or that theapplicant did not wish the notice to be read aloud (in which case the producerneed not have read the notice aloud) and the notice was left with theapplicant.

(c)  The notice shall list all life insurancepolicies or annuities proposed to be replaced, properly identified by name ofinsurer, the insured or annuitant, and policy or contract number if available. The notice shall include a statement as to whether a policy or contract will bereplaced or whether a policy will be used as a source of financing for the newpolicy or contract.  If a policy or contract number has not been issued by theexisting insurer, alternative identification, such as an application or receiptnumber, shall be listed.

(d)  In connection with a replacementtransaction the producer shall leave with the applicant at the time anapplication for a new policy or contract is completed the original or a copy ofall sales material.  With respect to electronically presented sales material,it shall be provided to the policy or contract owner in printed form no laterthan at the time of policy or contract delivery.

(e)  Except as provided in section431:10D-505(c), in connection with a replacement transaction, the producershall submit to the insurer to which an application for a policy or contract ispresented, a copy of each document required by this section, a statement identifyingany preprinted or electronically presented company-approved sales materialsused, and copies of any individualized sales materials, including anyillustrations related to the specific contract or policy purchased. [L 2000, c252, pt of §3; am L 2001, c 121, §2]