(a) Every insurer shall maintain records for each agent of:

1. (1) That agent’s amount of replacement sales as a percent of the agent’s total annual sales; and
2. (2) The amount of lapses of long-term care insurance policies sold by the agent as a percent of the agent’s total annual sales.

(c)

1. (1) Reported replacement and lapse rates do not alone constitute a violation of insurance laws or necessarily imply wrongdoing.
2. (2) The reports are for the purpose of reviewing more closely agent activities regarding the sale of long-term care insurance.

(g) For purposes of this section:

1. (1) “Policy” means only long-term care insurance;
2. (2) Subject to subdivision (g)(3) of this section, “claim” means a request for payment of benefits under an in-force policy regardless of whether the benefit claimed is covered under the policy or any terms or conditions of the policy have been met;
3. (3) “Denied” means the insurer refuses to pay a claim for any reason other than for claims not paid for failure to meet the waiting period or because of an applicable preexisting condition; and
4. (4) “Report” means on a statewide basis.