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Pennsylvania Statutes Title 40 P.S. Insurance § 310.77. Sales on or from the premises of a financial institution

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(a) Disclosures.--A licensee employed by or affiliated with a financial institution that solicits the sale of annuities or life insurance, except credit life insurance, on or from the physical premises of the financial institution shall provide a person applying for a contract of insurance a written disclosure at or prior to the time of application for the insurance or annuity.  The disclosure shall include a notice of all of the following:

(1) The insurance or annuity is not a deposit.

(2) The insurance or annuity is not insured by the Federal Deposit Insurance Corporation or any other agency or instrumentality of the Federal Government.

(3) The insurance or annuity is not guaranteed by the financial institution or an affiliated insured depository institution.

(4) The insurance or annuity is subject to investment risk, including potential loss of principal, when appropriate.

(b) Setting and circumstance.--Sales of annuities or insurance, except credit insurance, by a financial institution or by a licensee employed by or affiliated with the financial institution shall take place in a location which is distinct from the area where deposits are taken and loan applications are discussed and accepted.  Signs or other means shall be used to distinguish the insurance or annuities sales area from the deposit taking and lending areas.  The commissioner shall exempt a financial institution from the requirements of this section if the number of staff or size of the facility prevents compliance.

(c) Exceptions.--Compliance by a financial institution with the disclosure and the setting and circumstances requirements set forth in the Interagency Statement on Retail Sales of Nondeposit Investment Products issued February 15, 1994, by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency and the Office of Thrift Supervision shall satisfy the requirements of this section.

Cite this article: - Pennsylvania Statutes Title 40 P.S. Insurance § 310.77. Sales on or from the premises of a financial institution - last updated January 01, 2019 |

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