• You should consult with a tax advisor to determine whether there may be a tax impact, particularly if money from retirement funds is used to purchase a life settlement.

You may also contact the Wisconsin Office of the Commissioner of Insurance at 1-800-236-8517 or 608-266-0103; Email: ociquestions@wisconsin.gov.

Ins 2.19(1)(a)(a) The purpose of this section is to set forth standards to protect active duty service members of the United States Armed Forces from dishonest and predatory insurance sales practices by declaring certain identified practices to be false, misleading, deceptive or unfair.

Ins 2.19(1)(b)(b) This section does not create or imply a private cause of action for a violation of this section.

Ins 2.19(2)(2) Scope. This section shall apply only to the solicitation or sale of any life insurance or annuity product by an insurer or insurance producer to an active duty service member of the United States Armed Forces.

Ins 2.19(3)(3) Authority. This section is issued under the authority of ss. 601.41 (3), 628.34 and 628.347, Stats.

Ins 2.19(4)(a)(a) This section does not apply to solicitations or sales involving any of the following:

Ins 2.19(4)(a)1.1. Credit insurance.

Ins 2.19(4)(a)2.2. Group life insurance or group annuities where there is no in-person, face-to-face solicitation of individuals by an insurance producer or where the contract or certificate does not include a side fund.

Ins 2.19(4)(a)3.3. An application to the existing insurer that issued the existing policy or contract when a contractual change or a conversion privilege is being exercised; or, when the existing policy or contract is being replaced by the same insurer pursuant to a program filed with and approved by the commissioner; or, when a term conversion privilege is exercised among corporate affiliates.

Ins 2.19(4)(a)4.4. Individual stand-alone health policies, including disability income policies.

Ins 2.19(4)(a)5.5. Contracts offered by Servicemembers’ Group Life Insurance or Veterans’ Group Life Insurance, as authorized by 38 U.S.C. section 1965 et seq.

Ins 2.19(4)(a)6.6. Life insurance contracts offered through or by a non-profit military association, qualifying under section 501 (c) (23) of the Internal Revenue Code, and which are not underwritten by an insurer.

Ins 2.19(4)(a)7.7. Contracts used to fund any of the following:

Ins 2.19(4)(a)7.a.a. An employee pension or welfare benefit plan that is covered by 29 U.S.C. chapter 18.

Ins 2.19(4)(a)7.b.b. A plan described by sections 401(a), 401(k), 403(b), 408(k) or 408(p) of the Internal Revenue Code, as amended, if established or maintained by an employer.

Ins 2.19(4)(a)7.c.c. A government or church plan defined in section 414 of the Internal Revenue Code, a government or church welfare benefit plan, or a deferred compensation plan of a state or local government or tax exempt organization under section 457 of the Internal Revenue Code.

Ins 2.19(4)(a)7.d.d. A nonqualified deferred compensation arrangement established or maintained by an employer or plan sponsor.

Ins 2.19(4)(a)7.e.e. Settlements of or assumptions of liabilities associated with personal injury litigation or any dispute or claim resolution process.