Any person transacting a business of insurance who participates in the investigation, adjustment, negotiation, or settlement of a claim:

1. (1) shall fully disclose to a first-party claimant all relevant benefits and other provisions of coverage under which a claim may be covered;
2. (2) may not deny a claim on the ground that the first-party claimant failed to exhibit the property without written proof of demand and the unwarranted delay or refusal by the first-party claimant to do so;
3. (3) may not, except where there is a time limit specified in the coverage document, make statements, written or otherwise, requiring a first-party claimant to give written notice of loss, statement of claim, proof of loss, or similar affidavit within a specified time limit;
4. (4) may not request a first-party claimant to agree to a compromise or enter into a release that extends beyond the subject matter that gives rise to the claim payment; and
5. (5) may not issue a check, draft, warrant or other claim payment in partial settlement of a loss or claim under a specified coverage, which contains language that releases or compromises the issuer or its principal from any other liability.

(Eff. 5/6/89, Register 110)