Can we sign life insurance papers across state lines?

[AlwaysErika]

IL
My sister, who sells life insurance, lives in CA; we live in IL. B/c we are family she thinks we can get a better deal through her than another agent. So we get the paper work and she tells us that she has to sign that she signed the papers in CA b/c that is where she is licensed. It doesn't say on the form we have to be CA residents, but she indicated at one point that we are supposed to sign them in CA. She sent us the forms and now says it doesn't matter where we sign them, only where she signs them. She wants us to sign them and just snail mail them back. Is it legal for us to sign these papers for life insurance across state lines?

 

[moburkes]

IL
My sister, who sells life insurance, lives in CA; we live in IL. B/c we are family she thinks we can get a better deal through her than another agent. So we get the paper work and she tells us that she has to sign that she signed the papers in CA b/c that is where she is licensed. It doesn't say on the form we have to be CA residents, but she indicated at one point that we are supposed to sign them in CA. She sent us the forms and now says it doesn't matter where we sign them, only where she signs them. She wants us to sign them and just snail mail them back. Is it legal for us to sign these papers for life insurance across state lines?

There are a couple different answers. It depends upon the insurance company is one. For example, I'm in SC and my dad is in OH. I'm allowed to write him an OH insurance policy (as long as I have an OH license, and am appointed in OH to represent the insurance company) although I'm in SC. I cannot lie and tell the insurance company that he signed it in SC (cause that's not true), and I cannot lie and tell them I was in OH when he signed it (also not true).

So, if the insurance company allows her to sell out of state policies, then, generally, she must be both licensed to sell insurance in IL as well as appointed by that insurance company to sell insurance in IL.