02-031-880 Me. Code R. § IV

Current through 2024-46, November 13, 2024

Section 031-880-IV - REQUIREMENTS AND PROCEDURES FOR SALE OF INSURANCE PRODUCTS BY FINANCIAL INSTITUTIONS AND SUPERVISED LENDERS

A. Signage. A financial institution or supervised lender, or an affiliate of either, which sells, markets or promotes insurance products within the retail area of the financial institution or supervised lender must utilize signs which are clearly visible to its customers that distinguish insurance products from non-insurance products, and which identify insurance agencies, producers and consultants who are affiliated with the institution and who are providing insurance products within the retail area.

To aid customers in distinguishing between insurance products and non-insurance products, conspicuous signs must be posted in areas where insurance is sold. If applicable, the signs must clarify that insurance sold is not a deposit or obligation of the financial institution or supervised lender; is not guaranteed by the financial institution or supervised lender; and is not insured by the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), or their successors.

B. Physical location. The space utilized by the insurance agency, producer or consultant must be separated, to the extent practicable, from the retail area of the financial institution or supervised lender in such a manner as to prevent confusion in the public's mind.

When certain considerations, such as the staffing level, size or design of a particular facility of a financial institution or supervised lender, prevent sales from being conducted in a location distinct from the retail area, the financial institution, supervised lender, or an affiliate of either, shall make every reasonable effort to minimize customer confusion through an appropriate combination of signage, disclosure, and physical location within the retail area. In no event, however, may the sale of insurance products be conducted at the retail deposit-taking stations of a financial institution (the "teller line" or "teller window").

C. Identification and role of personnel. To aid in distinguishing between insurance and non-insurance products, financial institutions, supervised lenders, and their affiliates shall develop written policies consistent with the purposes of this rule specifying who may sell and recommend insurance products and how individuals selling and recommending insurance products identify themselves and their sales roles.

The involvement of personnel staffing the retail deposit-taking stations of financial institutions and other individuals not licensed to sell insurance products should be limited to providing informational materials or directing customers to licensed personnel who can provide information. Such employees may identify the availability and location of informational material or brochures, and may provide telephone numbers or other information to assist customers in contacting a licensed agency, producer, or consultant.

The financial institution, supervised lender, or an affiliate of either shall utilize signs clearly visible to customers that adequately identify those insurance agencies, producers and consultants affiliated with the financial institution or supervised lender, as discussed in Section IV(A) of this rule.

02-031 C.M.R. ch. 880, § IV