Disclosure

Disclosure A. A financial institution shall prominently disclose in writing, in clear and concise language, to customers, including in any advertisement or promotional material, and orally during any customer contact, that the insurance product offered, recommended, sponsored, or sold: 1. Is not a deposit; 2. Is not insured by the Federal Deposit Insurance Corporation, or in the case of a credit union, by the National Credit Union Share Insurance Fund; 3. Is not guaranteed by the insured financial institution or an affiliated insured depository institution; and 4. Where appropriate, involves investment risk, including potential loss of principal. B. Any financial institution that requires a customer to obtain insurance in connection with a loan or other extension of credit and that offers insurance either directly or through an affiliate shall clearly disclose to the customer their choice of insurance provider will not affect the decision of the financial institution in extending credit to the customer. C. Any person required under subsections (A) or (B) of this section to make disclosures to a customer shall obtain a written acknowledgement of receipt by the customer of such disclosures, including the date of receipt and the customer's name and address, prior to or at the time of the execution of any application for insurance sold by the person. Such acknowledgement shall be in a separately executed document or in a separately signed section of the application for insurance. The acknowledgement required by this paragraph shall not be required if an executed application for insurance or other document by which the customer applies for insurance is not submitted in writing or is not executed by the customer.