Which of the following is NOT an unfair misrepresentation under C.R.S. § 10-3-1104(1)(a)?

Why B is correct

C.R.S. § 10-3-1104(1)(a) expressly excepts written, factual comparisons that allow the applicant to make an informed decision — honest side-by-side analysis is lawful and encouraged. The other choices are enumerated violations: misstating benefits or terms, making false financial-condition statements, and presenting a life policy as a security.

Why the other options are wrong

• A) Misstating dividends or terms is the core misrepresentation prohibited by the subsection.
• C) False statements about financial condition are expressly enumerated as misrepresentation violations.
• D) Presenting a life policy as a security mischaracterizes the product and is prohibited by the same subsection.

Memory hook

Facts in writing inform; fiction in any form misrepresents.

Why B is correct

C.R.S. § 10-3-1104(1)(a) expressly exempts a written, factual policy comparison that permits the applicant to make an informed decision. The statute targets deception — misleading policy titles, presenting a policy as a security, and misstatements to induce an exchange all remain prohibited while honest side-by-side comparisons are lawful.

Why the other options are wrong

• A) Presenting a policy as a security or investment is an enumerated misrepresentation violation.
• C) Misleading policy names or titles are expressly listed as misrepresentation under the statute.
• D) Misstating terms to induce an exchange is the twisting conduct the subsection prohibits.

Memory hook

Facts in writing are fine; fiction is the violation (§ 10-3-1104(1)(a)).

Why D is correct

C.R.S. 10-3-1104(1)(a) expressly leaves room for honest comparison: a written, factual policy comparison that permits the client to make an informed decision is not a violation. The provision targets deception - inflated illustrations, presenting a policy as a security, and false financial statements all fall on the prohibited side of Colorado law.

Why the other options are wrong

• A) Overstated dividend projections misrepresent policy benefits, which the subsection prohibits.
• B) Presenting a policy as a security or investment is an enumerated misrepresentation violation.
• C) A false statement about a competitor's financial condition is defamation under C.R.S. 10-3-1104(1)(c), not permitted conduct.

Memory hook

Facts compared fairly are fine; fiction is forbidden.