IN HEALTH INSURANCE SALES

THE UNIVERS
OF MICHIGAN

1904

vol.2

HEARING

BEFORE THE

MAIN
READING ROOM

SUBCOMMITTEE ON FRAUDS AND MISREPRE-
SENTATIONS AFFECTING THE ELDERLY

OF THE

SPECIAL COMMITTEE ON AGING
UNITED STATES SENATE

EIGHTY-EIGHTH CONGRESS

SECOND SESSION

33-761 O

MAY 4, 1964

Printed for the use of the Special Committee on Aging

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON: 1964

For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C., 20402 - Price 60 cents

UNITED STATES OF AMERICA

CONTENTS

CHRONOLOGICAL LIST OF WITNESSES

Opening statement of the chairman...
James McI. Henderson, General Counsel, Federal Trade Commission;
accompanied by John Lexcen, assistant; James Murray, Assistant Direc-
tor, Bureau of Deceptive Practices; Robert Beller, attorney, Bureau of
Industry Guidance; and Fletcher Cohn, Assistant General Counsel for
Legislation...

Representative Ronald Brooks Cameron, 25th District, California_
Charles A. James, assistant attorney general, Sacramento, Calif

Robert R. Peacock, secretary-director, New Jersey Real Estate Commis-
sion...
William R. Morris, National Association of Insurance Commissioners,
presented by T. Nelson Parker...

J. Edwin Larson, State treasurer and insurance commissioner, Florida,
presented by Walter E. Rountree, general counsel, Tallahassee; accom-
panied by Frank Alexander, chief, administrative department..
Sherwood Colburn, partner, insurance firm of Baron, Colburn & Colburn,
Detroit, Mich...

Loren A. Hicks, president, North Broward Senior Citizens Club, Inc., and treasurer, Florida State Council for Senior Citizens, Pompano Beach, Fla..

133

Kenneth Williamson, associate director, American Hospital Association, and director, Washington Service Bureau___

144

STATEMENTS

Hicks, Loren A., president, North Broward Senior Citizens Club, Pompano
Beach, Fla...

Layne, A. Alvis, general counsel, Association of Insurance Advertisers..
Leisure Village, Lakewood, N.J.

141

147

156

159, 187

147

Ohio State Department of Insurance, William R. Morris, director.
Owen, Jack, executive vice president and director, New Jersey Hospital
Association.

ADDITIONAL INFORMATION

Addendum, deceptive claims in mail-order insurance advertisingAppendix A. Statutes regulating insurance advertising adopted in the various States___

"Balking the Unauthorized Insurers," Detroit Free Press, editorial_ Condon-Russo bill, New York State Assembly, amending insurance laws on unauthorized insurers..

8

94

117

119

Federal Trade Commission, guides for the mail-order insurance industry.. Insurance by mail, series of articles by Frank J. Kelley, Michigan State attorney general.

12

114

National Association of Insurance Commissioners, report and interpretation of rules governing insurance advertising-.

164

New Jersey Real Estate Commission; letter dated July 16, 1964, to committee.

185

Report on health insurance, California State Assembly-
Senior Citizens Services Division, Florida Insurance Department__