Replaces Bulletin 10-005 - Gifts or Promotional Items Offered by Property, Casualty, and Surety Insurers - 17-003-W Replaces this bulletin

JIM GIBBONS Governor Dianne Cornwall Director STATE OF NEVADA Scott J. Kipper Commissioner of Insurance # DEPARTMENT OF BUSINESS & INDUSTRY DIVISION OF INSURANCE 788 Fairview Drive, Suite 300 Carson City, Nevada 89701-5491 (775) 687-4270 Fax (775) 687-3937 Website: doi.state.nv.us E-mail: insinfo@doi.state.nv.us Bulletin 10-005A This Replaces Bulletin 10-005 May 25, 2010 # GIFTS OR PROMOTIONAL ITEMS # OFFERED BY PROPERTY, CASUALTY, AND SURETY INSURERS The Nevada Division of Insurance ("Division") frequently receives questions regarding what gifts or promotional items, if any, may be given to an insured or potential insured. This Bulletin clarifies the Division's position regarding gifts or promotional items offered by casualty, property, and surety insurers, as defined by Nevada Revised Statutes ("NRS") 681A.020, 681A.060, and 681A.070, respectively, to an insured or potential insured, pursuant to NRS 686A.130(1). Please note, this Bulletin does not apply to title insurers, underwritten title companies, title agencies, or any employee or representative thereof, as these persons are subject to additional restrictions in NRS 686A.130(2), which are not addressed in this Bulletin. NRS 686A.130(1) prevents - Property insurers; - Casualty insurers; - Surety insurers; - Title insurers; - Underwritten title companies; - Any employees of the above; - Any representatives of the above; - Brokers; - Agents; or - Solicitors from, either directly or indirectly, - Paying; - Allowing; - Giving; - Offering to pay; - Offering to allow; or 1 • Offering to give the following items: • Rebates; • Discounts; • Abatements; • Credits; • Reductions in premium; • Special favors or advantages in the dividends or other benefits to accrue thereon; • Any valuable consideration; or • Any inducement whatever to an insured, or potential insured (i.e., someone obtaining a quote), either prior to or after insurance has been effected, unless the gift or promotional item is specified or provided for in the policy and provided for in an applicable filing approved by the Commissioner. If the gift or promotional item satisfies all of the following criteria, the gift or promotional item will not be considered a rebate, discount, abatement, credit, reduction in premium, special favor or advantage in the dividend or other benefit to accrue thereon, any valuable consideration or any inducement whatever. ## CRITERIA 1. The gift, promotional item, or charitable contribution on behalf of the insured or potential insured must not exceed $20 in cost to the insurer. 2. A gift or promotional item, other than charitable donations, must be branded with an affixed company specific marking or logo of the insurer giving the gift or promotional item. The following examples are not considered a violation of NRS 686A.130(1), as long as the cost to the insurer does not exceed the limit prescribed above: • Branded coffee mugs; • Branded office accessories such as pens, pencils, calendars, rulers, or notepads; • Branded vehicle accident kits; • Branded maps or atlases; or • Charitable donations in the name of the insured or potential insured. The above list is illustrative only and is not intended to be exhaustive. The restrictions set forth in this Bulletin do not apply to insurance-related educational events including, but not limited to, risk management or loss control seminars or training sessions. SCOTT J. KIPPER Commissioner of Insurance 2