1. (a) The provisions of 3 AAC 26.430 - 3 AAC 26.449 apply to a solicitation or sale of a life insurance or annuity product by an insurer or insurance producer to an active duty service member of the United States armed forces, except for a solicitation or sale involving

   1. (1) consumer credit insurance; in this paragraph, "consumer credit insurance" has the meaning given in AS 21.57.160;

   2. (2) a group life insurance policy or group annuity contract

      1. (A) in which in-person, face-to-face solicitation of individuals by an insurance producer does not take place; or
      2. (B) if the contract or certificate does not include a side fund;

   3. (3) an application to an insurer that issued an existing life insurance policy or annuity contract to

      1. (A) exercise a contractual change or conversion privilege;
      2. (B) replace the existing policy or contract by the same insurer under a program filed with and approved by the director; or
      3. (C) exercise a term conversion privilege among corporate affiliates;
   4. (4) an individual stand-alone health insurance policy, including a disability income policy;
   5. (5) a contract offered by Servicemembers' Group Life Insurance or Veterans' Group Life Insurance, as authorized by 38 U.S.C. 1965 - 1980A;
   6. (6) a life insurance contract offered through or by a nonprofit military association qualifying under 26 U.S.C. 501(c)(23) (Internal Revenue Code) and that is not underwritten by an insurer; or

   7. (7) a life insurance policy or annuity contract that is used to fund

      1. (A) an employee pension or welfare benefit plan covered under 29 U.S.C. 1001 - 1461 (Employee Retirement Income Security Act of 1974);
      2. (B) a plan described in 26 U.S.C. 401(a) or (k), 26. U.S.C. 403(b), or 26 U.S.C. 408(k) or (p) (Internal Revenue Code), if the plan is established or maintained by an employer;
      3. (C) a governmental or church plan defined in 26 U.S.C. 414 (Internal Revenue Code), including a governmental or church welfare benefit plan;
      4. (D) a deferred compensation plan of a state or local government or tax exempt organization under 26 U.S.C. 457 (Internal Revenue Code);
      5. (E) a nonqualified deferred compensation arrangement under 26 U.S.C. 409A (Internal Revenue Code) established or maintained by an employer or plan sponsor;
      6. (F) a settlement of or assumption of liabilities associated with personal injury litigation or a dispute or claim resolution process; or
      7. (G) a formal prepaid funeral contract.
2. (b) Nothing in 3 AAC 26.430 - 3 AAC 26.449 abrogates the ability of an organization to educate members of the United States armed forces in accordance with the United States Department of Defense's DoD Instruction 1344.07 - Personal Commercial Solicitation on DoD Installations or successor directive.

3. (c) Except as provided in (d) of this section, for purposes of 3 AAC 26.430 - 3 AAC 26.449, solicitation does not include

   1. (1) a general advertisement;
   2. (2) direct mail;
   3. (3) Internet marketing; or
   4. (4) telephone marketing, if the caller explicitly and conspicuously discloses that the subject matter of the call is life insurance and does not make a statement that avoids a clear and unequivocal statement that life insurance is the subject matter of the solicitation.
4. (d) Notwithstanding (c) of this section, and for purposes of 3 AAC 26.430 - 3 AAC 26.449, a solicitation includes an in-person, face-to-face meeting established by an insurer or insurance producer using one or more of the methods listed in (c) of this section.

(Eff. 12/28/2008, Register 188)

Authority: AS 21.06.090, AS 21.36.030, AS 21.36.050, AS 21.36.020, AS 21.36.040, AS 21.36.900