Whether they appear on Social Media platforms, your company’s own website, partner sites, mobile apps, or in print, your company’s advertisements are, of course, among the most visible parts of its business. Insurance advertising is seen and routinely monitored by insurance regulators and is frequently the subject of targeted regulatory inquiries and exams. Insurance advertising is governed by a quilt of often confusing and esoteric state and federal laws and regulations, the applicability of which can vary widely according to the subject matter of the advertisement, the type of insurance sold, or the media through which it appears. Some things to keep in mind when creating and launching new ads:
- Does the ad contain any statements specifically prohibited by law?
- Conversely, does the ad contain all legally-required disclosures and disclaimers?
- If the advertisement contains a testimonial, does it comply with laws and rules for the use of testimonials in advertising?
- For email ads, do the emails comply with all federal laws and rules for email advertising?
- If text messaging is used to deliver ads or links to ads, is the company in compliance with federal rules for advertising via text?
- Does the ad include an offer that could run afoul of state anti-rebating laws?
- Does the ad contain any language or graphic that could infringe upon the copyrights or trademarks of others?
- For product advertising, is the ad consistent with all applicable coverage terms, including filed rules and rates?
In addition to monetary fines and penalties for violating advertising rules and regulations, companies can be forced to discontinue non-compliant ad campaigns, thus preventing them from realizing a return on ad dollars spent.
The Lawson Firm, LLC (TLF) can help ensure that your company’s advertisements comply with state and federal law requirements. TLF can review specific ads or ad campaigns, or help your company develop compliant guidelines and procedures for its own reviews. Further, TLF can train your company’s marketing department on the basics of advertising compliance to help ensure a smoother review process.
Contact Scott Lawson firstname.lastname@example.org to learn more.