Yes, the rule simply requires that a policy issued with less than a $100 a day, unless one of the other exceptions apply, will be treated as an unsuitable sale. An unsuitable sale merely means the insurer must follow the procedure and send notices to the applicant, and the agent is restricted to a renewal commission. Otherwise, the policy can be issued as normal despite it being less than $100 a day.
The exceptions are:
- The agent is paid a renewal commission, and the suitability notices are provided.
- The agent submits the suitability of the applicant to the division, and that filing is approved.
- The insured requests less than $100 a day after issuance, and the applicable suitability notices are sent.
- Two or more polices combined including the policy applied for equal or exceed $100 a day.
- It is an employer or labor union plan which includes contribution by the employer or labor union.
There is nothing in the long term care requirements that limits splitting of commissions. The one getting the commission must be the one who actually sold or solicited the product. However, splitting of commissions can only take place between licensed agents.
There are no specific regulations pertaining to designations except that:
- You must clearly show you are an insurance agent before beginning a sales presentation.
- The designation must not be misleading, nor may it in any way imply or indicate that you are associated with or endorsed by a government agency.
A listing of continuing education courses for long term care training is available on the Sircon website.
Yes. You need South Dakota-specific Medicaid training. View providers of long-term medicaid training.
No, because these products do not qualify as partnership plans.
You cannot sell long-term care policies until you have completed the training.
The training must be completed every two years. The next training deadlines are July 1, 2014, July 1, 2016, etc.
Long term care training can count toward your continuing education requirement provided you take an approved continuing education course.
No. It is the insurance company's responsibility that their agents have the proper training. Contact the companies you write insurance with for instructions as to how to provide proof of completion of training.
Yes. People who purchase partnership policies in other states will have reciprocity, and their policies will be treated just like South Dakota partnership policies.
Unable to find the answers to your long-term care questions? email the Division of Insurance for assistance.