# NV Bulletin 01-002: Unlawful Rebates in the Sale of Life or Health Insurance

> Nevada · Agency guidance · In force

URL: https://www.frixlaw.com/law-library/statutes/NV_INS_B_01_002

## Section

- **Citation:** NV Bulletin 01-002
- **Heading:** Unlawful Rebates in the Sale of Life or Health Insurance
- **Jurisdiction:** Nevada
- **Kind:** Agency guidance
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Nevada Division of Insurance Bulletins / Unlawful Rebates in the Sale of Life or Health Insurance

## Text

Bulletin 01-002 April 30, 2001

UNLAWFUL REBATES IN THE
SALE OF LIFE OR HEALTH INSURANCE

Insurers who are offering “free insurance” for a limited period of time as an
inducement to purchase life or health insurance are violating Nevada’s Unfair Trade
Practices Law. It is unlawful for an insurer to offer any type of inducement, refund or
rebate of insurance premium for life and health insurance to a customer. This type of
activity is prohibited in NRS 686A.110, which states:

“Except as otherwise expressly provided by law, no person shall knowingly:
1. Permit to be made or offer to make or make any contract of life
insurance, life annuity or health insurance, or agreement as to such
contract, other than as plainly expressed in the contract issued thereon, or
pay or allow, or give or offer to pay, allow or give, directly or indirectly,
or knowingly accept, as an inducement to such insurance or annuity, any
rebate of premiums payable on the contract, or any special favor or
advantage in the dividends or other benefits thereon, or any paid
employment or contract for services of any kind, or any valuable
consideration or inducement whatever not specified in the contract.”

An offer of “free insurance” is considered an inducement and, therefore, an
unlawful practice in the state of Nevada.

____________________________________

ALICE A. MOLASKY-ARMAN

Commissioner of Insurance

H:\dept\bulletin\bulletin01-002rebatelife

## Nearby sections

- [NV Bulletin 00-001 Workers' Compensation Appeals Panel](https://www.frixlaw.com/law-library/statutes/NV_INS_B_00_001.md)
- [NV Bulletin 00-002 Workers' Compensation Issues](https://www.frixlaw.com/law-library/statutes/NV_INS_B_00_002.md)
- [NV Bulletin 00-003 Workers' Compensation Deductible Programs](https://www.frixlaw.com/law-library/statutes/NV_INS_B_00_003.md)
- [NV Bulletin 00-004 Balance Billing by Contracted Providers](https://www.frixlaw.com/law-library/statutes/NV_INS_B_00_004.md)
- [NV Bulletin 01-002 Unlawful Rebates in the Sale of Life or Health Insurance](https://www.frixlaw.com/law-library/statutes/NV_INS_B_01_002.md)
- [NV Bulletin 01-003 Groups Formed for the Purpose of Procuring Insurance](https://www.frixlaw.com/law-library/statutes/NV_INS_B_01_003.md)
- [NV Bulletin 01-004 Credit Insurance](https://www.frixlaw.com/law-library/statutes/NV_INS_B_01_004.md)
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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/NV_INS_B_01_002. Check the current official text before relying on it. Not legal advice.