No mass-marketed life insurance may be effected on a person in this State if the charges to the individual insureds are unreasonable in relation to the benefits provided. "Mass-marketed life insurance" for purposes of this chapter means coverage under any group policy of life insurance which is offered by means of direct response solicitation whether through a sponsoring organization or the mails or other media, except that it does not include coverage offered to an employee or union member through his employer or union, to a member of a professional association, to a member of a national association of retired or aged persons through the association, or to a member of a national association of war veterans either chartered by Congress or composed of veterans of a particular ethnic, racial, or religious background through the association. This coverage offered through a trust formed by one or more employers, labor unions, or both, or by a professional association or association of retired or aged persons or war veterans to provide insurance coverage for employees, union members, and their dependents or for association members and their dependents is considered to be offered through the employer, union, or association, respectively. "Direct response solicitation" means any offer by an insurer to persons in this State to effect life insurance coverage which enables the individual to apply or enroll for the insurance on the basis of that offer.
HISTORY: Former 1976 Code Section 38-65-50 [1985 Act No. 137, Section 5] recodified as Section 38-41-70 by 1987 Act No. 155, Section 1; Former 1976 Code Section 38-31-50 [1953 (48) 493; 1962 Code Section 37-303; 1976 Act No. 732 Section 3] recodified as Section 38-65-50 by 1987 Act No. 155, Section 1.
Structure South Carolina Code of Laws
Chapter 65 - Group Life Insurance
Section 38-65-10. Circulation of false or misleading information by life insurers.
Section 38-65-20. Misrepresentations to induce termination of life insurance policies.
Section 38-65-30. Assignment of rights and benefits under policies.
Section 38-65-40. Requirements of policies.
Section 38-65-50. Restrictions on mass-marketed life insurance.
Section 38-65-70. Coverage of families of employees and members.
Section 38-65-100. Spendthrift provisions in settlement agreements are valid.
Section 38-65-110. Extension of right to apply for individual policy.
Section 38-65-120. Interest on payment; when required.
Section 38-65-210. Provisions required in all policies.
Section 38-65-310. Life, term, and endowment insurance on franchise or wholesale plan.
Section 38-65-320. Termination of or refusal to renew policy issued on franchise or wholesale plan.
Section 38-65-330. Conversion privilege of policy issued on franchise or wholesale plan.