<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><title></title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000000 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2000001 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000002 { color: #0000FF; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    </span><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000000">20:06:21:71.  Permitted compensation arrangements.</span><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont"> No insurer or other entity may provide commission or other compensation greater than the renewal compensation, to a producer or other representative, for the sale of a long-term care insurance policy or certificate which replaces an existing long-term care insurance policy or certificate, unless the replacing policy contains clearly and substantially greater benefits than the replaced policy provided. The commission or other compensation provided in subsequent renewal years must be the same as that provided in the second year or period and must be provided for a reasonable number of renewal years.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2000001"> </span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    Unless prohibited in this section or § </span><a href="https://sdlegislature.gov/Rules?Rule=20:06:21:53.03"><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000002">20:06:21:53.03</span></a><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">, the first year commission or other compensation provided may be greater than the renewal commission.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2000001"> </span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    For purposes of this section, "compensation" includes pecuniary or nonpecuniary remuneration of any kind relating to the sale or renewal of the policy or certificate, including but not limited to bonuses, gifts, prizes, awards, and finders fees.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2000001"> </span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    </span><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000000">Source:</span><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont"> 28 SDR 157, effective </span><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">May 19, 2002.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    </span><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000000">General Authority:</span><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=58-17B-4"><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000002">58-17B-4</span></a><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">    </span><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000000">Law Implemented:</span><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=58-17B-4"><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont-000002">58-17B-4</span></a><span class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2DefaultParagraphFont">.</span></p><p dir="ltr" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2Normal"><span xml:space="preserve" class="s595b5b83-cad8-4a3b-9b5e-a1a8ce4d7fd2000001"> </span></p></div></body></html>