State RegulationsOH specificDifficulty 1/5
An Ohio existing insurer has been notified that one of its life policies is being replaced. What is the existing insurer required to provide to the policyowner under OAC 3901-6-05?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
OAC 3901-6-05 obligates the existing insurer to send the policyowner an information letter and, within 5 business days of the owner's request, an in-force illustration or policy summary; it must also send a release-of-values notice when the owner borrows against or surrenders the policy. The existing insurer has no veto or consent role — its duty is to give the owner the facts needed to evaluate the proposed replacement.
Why the other options are wrong
- A) The existing insurer has no power to block a replacement; its role is informational under OAC 3901-6-05.
- B) No consent from the existing insurer is required for the replacement to proceed.
- C) The existing insurer must supply information, not refuse it — the information letter and requested in-force illustration are mandatory.
Memory hook
Old insurer informs, never blocks — letter plus illustration on request.