Subscribe to glassBYTEs!

Iowa Insurance Commissioner to Enforce Rebate Prohibition in State

The Iowa Insurance Commissioner, Susan E. Voss, issued a bulletin to insurance carriers in the state earlier this week noting that the Iowa Insurance Division "continues to receive complaints regarding services, products and memberships that are being offered in an insurance policy."

"Because there is no provision for exceptions to the prohibition for rebates as stated in the Iowa Code sections … the Division finds that any goods or services offered to a policyholder or prospective policyholder, which are not specifically incorporated as part of the policy contract and made a part of the pricing of the policy are rebates and therefore are prohibited by law," she writes. "Therefore, effective [June 30], all carriers and insurance producers licensed and doing business in Iowa shall cease offering any form of a good or service not specifically incorporated into the policy as set forth in this Bulletin."

CLICK HERE for full text of bulletin.

Need more info and analysis about the issues?
CLICK HERE to subscribe to AGRR magazine.