State RegulationsIL specificDifficulty 1/5
Under the Illinois life solicitation regulation, which of the following falls within the scope of an 'individual life insurance policy' sold to a consumer?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
The disclosure regime of the Illinois life solicitation rule (50 Ill. Adm. Code 930) is built around individual life insurance sold directly to consumers, such as a whole life policy purchased by an individual for family protection. Arrangements like group master contracts, credit life insurance, and contracts used to fund employer-established benefit plans are treated differently, which is why the regulation carves out exemption provisions for them.
Why the other options are wrong
- A) A group master contract purchased by an employer is not an individual life policy sold to a consumer.
- B) Credit life insurance tied to a loan is a specialized product addressed separately, not the core individual sale the disclosure regime targets.
- C) Contracts funding employer-established benefit plans are among the arrangements the regulation treats outside the individual sale framework.
Memory hook
One buyer, one policy, direct sale — that is the individual market the rule protects.