No person may, in connection with adjusting any claim, loss, or damage under a contract or policy of insurance, misrepresent to an insured, or any other person having an interest in the proceeds payable under the contract or policy the terms, coverage or effect of the contract or policy, for the purpose and with the intent of effecting settlement of the claim, loss, or damage under the contract or policy on less favorable terms than those provided in and contemplated by the contract or policy.
HISTORY: Former 1976 Code Section 38-57-70 [1947 (45) 322; 1952 Code Section 37-1157; 1962 Code Section 37-1157] recodified as Section 23-9-370 by 1987 Act No. 155, Section 1; Former 1976 Code Section 38-55-70 [1962 Code Section 37-1207; 1964 (53) 2293] recodified as Section 38-57-70 by 1987 Act No. 155, Section 1.