Life Insurance Basics
Whose interests may a producer weigh when making a recommendation under Regulation 187?
Answer and explanation
Answer: A. Regulation 187, which governs suitability in life insurance and annuity transactions, provides that only the interests of the consumer may be considered, and that the receipt of compensation or other incentives must not influence the recommendation. Disclosure does not license the producer to weigh its own interest.Source: New York Reg. 187, 11 NYCRR 224 — 11 NYCRR 224
More life insurance basics questions
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- On what must a recommendation under Regulation 187 be based?
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