Rules for Dissemination and Advertising of the Insurance Activity
Ruling No. FSAA-9-00731, dated August 2, 2016, of the Ministry of the Popular Power for Banking and Finance (the “Ruling”), was published in Official Gazette No. 40.973 of August 24, 2016. Said Ruling contains the Rules for Dissemination and Advertising of the Insurance Activity.
The purpose of the Ruling is to establish the general guidelines that govern dissemination and advertising in relation to the individuals/entities regulated by the Law of the Insurance Activity (“LIA”) and any other natural or legal person carrying out or ordering it.
Dissemination and advertising must be oriented towards preserving and increasing trust in the Venezuelan insurance sector, as well as towards providing information and guidance about the activities carried out by the regulated individuals/entities. The Ruling defines advertising, dissemination, slogan, logo, corporate image, web page, application, commercial, spot commercial, associated products, and advertising campaign, and indicates the requirements to be met for their evaluation and subsequent approval.
The request for authorization of dissemination and advertising must be made through a communication addressed to the Superintendency of the Insurance Activity (“SIA”) containing the information and/or requirements established in the Ruling. Any advertising referred to the regulated individuals/entities must indicate their corporate or personal name, the express specification of the type of insurance activity that they develop and the nature of the same, without abbreviations. In the case of advertising of specific policies, contracts, products or services by the intermediaries of the insurance activity, the regulated individual/entity offering or commercializing the same will be expressly indicated. In any case, the agents must indicate the regulated individual/entity for whom/which they are intermediaries or for whom/which they act.
Any dissemination and advertising must conform to the LIA, the Regulations, the rules that regulate access by individuals to the goods and services for satisfaction of their needs and the other applicable provisions, as well as to the inherent characteristics and content of the contracts that regulate contractual relationships in the insurance activity, of the services involved or of the organization and activities of the individuals/entities regulated by the LIA.
The advertising material approved by the SIA will indicate the number and date of approval, as well as the period of dissemination, if such were the case. If the advertising material refers exclusively to the slogan or logo of the regulated individual/entity, the SIA will not have to perform such obligation. If advertising material is used without the relevant authorization, a fine will be imposed in the terms established in the LIA and the advertising will be removed.
The Ruling states that the expenses associated with advertising may in no case exceed 5% of the total administrative expenses. It also indicates the cases in which advertising does not require the approval of the SIA.
The Ruling became effective upon its publication in the Official Gazette.
In order to access the Ruling, please click here.