TN Insurance Bulletin (1990-06-01): A. L. Williams/MILICO - Company Advertisement

NED McWHERTER GOVERNOR STATE OF TENNESSEE DEPARTMENT OF COMMERCE AND INSURANCE 500 JAMES ROBERTSON PARKWAY NASHVILLE, TENNESSEE 37219 B U L L E T I N TO: All Life Insurers Authorized to Transact Business in Tennessee FR: David J. Kumatz~~ Assistant Commi~~'foner for Insurance RE: A. L. Williams/MILICO DA: June 1, 19 90 ELAINE A. McREYNOLDS COMMISSIONER The Department of Commerce and Insurance recently issued a notice to A. L. Williams/MILICO regarding a hearing at which the Companies may appear to present evidence as to why their advertising does not violate Chapter 0780-1-33 and why the Commissioner should not require prior approval of the Companies' advertising based upon the findings regarding the Companies' advertising contained in the notice. A final determination will be made by the Commissioner after the hearing. You are c aut ion e d that imp rope r use of this n o t ice could constitute an unfair trade practice or other statutory violation subjecting you to penalty. It has been reported to the Department that some agents or companies are using a document relating to death claims paid in Tennessee by MILICO and representing the document to have been produced by this Department. This document was not generated by the Department. Although these figures appear to have been taken from an annual statement filed with this Department, the Company has subsequently filed amendments to the annual statement correcting these paid death claim totals. It has also been reported that some agents and companies are using excerpts from a report of investigation regarding A. L. Williams/MILICO prepared by one of the Department's investigators. A report of investigation is prepared for review and analysis by the Department's legal section. It does not represent formal findings of the Commissioner, which would be issued only after a hearing on the facts. Again, you are cautioned these or other such documents. constitute an unfair trade against any improper use of Such use could be found to practice or other statutory violation, depending upon the facts and circumstances surrounding the case.