Every issuer, health care service plan, or other entity marketing Medicare supplement insurance coverage in this state, directly or through its agents or representatives, shall:

1. (1) Establish marketing procedures to assure that any comparison of policies or certificates by its agents or other representatives will be fair and accurate;
2. (2) Establish marketing procedures to assure that excessive insurance is not sold or issued;

3. (3) Display prominently by type, stamp, or other means on the first page of the outline of coverage and policy or certificate the following:

   "Notice to buyer: This policy may not cover all of your medical expenses";

4. (4) Inquire and otherwise make every effort to identify whether a prospective applicant, certificate holder, or enrollee for Medicare supplement insurance already has accident and sickness insurance and the types and amounts; and
5. (5) Establish auditable procedures for verifying compliance with this section.

Source: 16 SDR 174, effective May 2, 1990; 17 SDR 58, effective October 29, 1990; 18 SDR 225, effective July 17, 1992; 22 SDR 107, effective February 18, 1996.

General Authority: SDCL 58-4-1 , 58-17A-2.

Law Implemented: SDCL 58-17A-2 , 58-17A-7.