Nebraska Department of Insurance

It has come to the attention of the Department of Insurance that some confusion exists regarding the duties of insurers as set forth in Section 008.02B of Chapter 19. Simply stated, Section 008.02B requires the replacing insurer to send the following items to each existing insurer within three (3) working days of the date the application is received in the replacing insurer's home or regional office, or the date the proposed policy or contract is issued, whichever is sooner.

1. A written communication advising each existing insurer of the replacement or proposed replacement;
   
   
2. A list of the existing life insurance policy or annuity to be replaced, which is issued by such existing insurer including identification by name of insurer, the insured and contract number, (see Section 008.02A);
   
   
3. For life insurance, a Policy Summary which discloses policy data on the proposed life insurance as required by the Life Insurance Solicitation Rule, Chapter 33, or an illustration as required by the Life Insurance Illustrations Regulation, Chapter 72; and
   
   
4. For an annuity, a ledger statement which contains data comparable to that required for a life insurance policy.
   
   

One of the purposes of this rule is to provide sufficient information to the existing life insurance companies to compare the existing insurance or annuity with the replacing insurance or annuity. In order to accomplish this objective, Section 008.02B requires that the replacing insurer send such information to the existing insurers within the stated three-day time period.

Any questions concerning the interpretation of Chapter 19 should be directed to the Legal Division or Life and Health Division.

TIMOTHY J. HALL

Director of Insurance