Ins 2.13(12)(e)(e) Investment Company Products/Variable Contracts Limited Principal Qualification Examination. Ins 2.13(12m)(12m) Agent qualifications. On or after April 1, 2010, any person selling or offering for sale a variable contract shall have a valid license under s. Ins 6.59 (4) (an), authorizing the solicitation of variable life insurance and variable annuity products as defined in s. Ins 6.50 (2) (a) 6. Ins 2.13(13)(13) Nonapplicability. To the extent that any provision of sub. (7) or (8) is inconsistent with a provision of sub. (6) or (10), sub. (6) or (10) does not apply to a policy or contract described in sub. (7) or (8). Ins 2.13 HistoryHistory: Cr. Register, October, 1968, No. 154, eff. 11-1-68; emerg. am. (1), (2) (a), (4) (a) and (g), eff. 6-22-76; am. (1), (2) (a), (4) (a) and (g), Register, September, 1976, No. 249, eff. 10-1-76; am. (6) (e), Register, March, 1979, No. 279, eff. 4-1-79; r. (2) (d) 5., (9) (g), to (m) and (p), am. (2) (b) to (d) (intro.), (6) (a), (9) (a) to (f), cr. (9) (g) to (i), renum. (9) (n) and (o) to be (9) (j) and (k), Register, May, 1979, No. 281, eff. 6-1-79; r. and recr. (2) and (9), Register, October, 1981, No. 310, eff. 11-1-81; am. (1), (3) (a) (intro.) and 2., (b), (c) (intro.), 2. and 3., (4) (a) to (g), (5) (a), (b) 2., (d), (e) and (6), renum. (2) (a) and (b), (7) to (9) to be (2) (b) and (a), (10) to (12) and am. (2) (a) and (b), (10) (a) (intro.) and 1., (b), (11) and (12), cr. (2) (intro.), (c) to (g), (7) to (9) and (13), Register, April, 1990, No. 412. eff. 5-1-90; CR 09-022: am. (12) (intro.), cr. (12m) Register August 2009 No. 644, eff. 9-1-09; CR 14-076: am. (6) (d) 2. Register August 2015 No. 716, eff. 9-1-15. Ins 2.14Ins 2.14 Life insurance solicitation. Ins 2.14(1)(1) Purpose. The purpose of this section is to require insurers to deliver to purchasers of life insurance information which will improve the buyer’s ability to select the most appropriate plan of life insurance for the buyer’s needs, improve the buyer’s understanding of the basic features of the policy, and improve the ability of the buyer to evaluate the relative costs of similar plans of life insurance. This section does not prohibit the use of additional material which is not in violation of this section or any other Wisconsin statute or rule. This section interprets ss. 628.34 and 628.38, Stats. This section is in addition to and not a substitute for the requirements set forth in ss. Ins 2.16 and 2.17. Ins 2.14(2)(a)(a) Except as stated in par. (b), this section applies to any solicitation, negotiation, or procurement of life insurance occurring within this state. This section applies to any issuer of life insurance contracts including fraternal benefit societies and the state life Insurance fund. Ins 2.14(2)(b)(b) Unless otherwise specifically included, this section does not apply to: Ins 2.14(2)(b)4.4. Life insurance policies issued in connection with pension and welfare plans as defined by and which are subject to the federal employee retirement income security act of 1974 (ERISA), 29 U.S.C. sections 1001 to 1461. Ins 2.14(2)(b)5.5. Variable life insurance under which the death benefits and cash values vary in accordance with unit values of investments held in a separate account. Ins 2.14(3)(3) Definitions. For the purposes of this section, the following definitions shall apply: Ins 2.14(3)(a)(a) “Cost comparison index” means a number corresponding to the cost of a policy, which can be used to compare similar policies within a company or between companies. Ins 2.14(3)(b)(b) “Equivalent level death benefit” of a policy or term life insurance rider is an amount calculated as follows: Ins 2.14(3)(b)1.1. Accumulate the guaranteed amount payable upon death, regardless of the cause of death, at the beginning of each policy year for 10 and 20 years at 5% interest compounded annually to the end of the tenth and twentieth policy years, respectively. Ins 2.14(3)(b)2.2. Divide each accumulation of subd. 1. by an interest factor that converts it into one equivalent level annual amount that, if paid at the beginning of each year, would accrue to the value in subd. 1. over the respective periods stipulated in subd. 1. If the period is 10 years, the factor is 13.207 and if the period is 20 years, the factor is 34.719. Ins 2.14(3)(c)(c) “Generic name” means a short title which is descriptive of the premium and benefit patterns of a policy or a rider. Ins 2.14(3)(d)(d) “Life insurance buyer’s guide” means the document published by the national association of insurance commissioners entitled life insurance buyer’s guide. Ins 2.14(3)(e)(e) “Net payment cost index” means a cost comparison index calculated in the same manner as the comparable surrender cost index except that the cash surrender value is set at zero. Ins 2.14(3)(f)(f) “Policy summary” means a written statement in substantially the same format for all companies and describing only the guaranteed elements of the policy including but not limited to: Ins 2.14(3)(f)1.1. A prominently placed title as follows: STATEMENT OF POLICY COST AND BENEFIT INFORMATION. Ins 2.14(3)(f)2.2. The name and address of the insurance intermediary, or, if no insurance intermediary is involved, a statement of the procedure to be followed in order to receive responses to inquiries regarding the policy summary. Ins 2.14(3)(f)3.3. The full name and home office or administrative office address of the company in which the life insurance policy is to be or has been written.