All of the following are TRUE regarding Life Insurance advertising, EXCEPT:

• A. Advertising must be truthful and not misleading
• B. An insurer may use the name of its parent company in advertisements
• C. The insurer may reference policy illustrations accurately
• D. The insurer must avoid misrepresentation or deceptive practices

Answer: (B)

Advertising life insurance must be truthful, not misleading, and clearly identify the insurer that issues the policy. The rules also require that policy illustrations be accurate and that the insurer avoid misrepresentation or deceptive practices. Using the parent company’s name in advertisements can mislead consumers about who actually issues the policy or guarantees its benefits, which is not allowed. Ads should accurately reflect the issuing insurer and not imply guarantees or affiliations that aren’t true.