Chapter 5: State Laws, Rules and Regulations
The commissioner will give a notice of time and place for a hearing within
15 days
What is the minimum age to apply for a license?
18 years old
What is the duration of a original temporary license active?
6 months
After an insurer files application for certificate of authority, the commissioner has how long to approve application?
90 days
Maximum period of time a temporary license can be in force after original time has expired?
15 months; temporary license is good for 6 months and can be renewed at 3 month intervals for a maximum of 15 months
When a policy is replaced, replacing insurers must maintain a replacement register regarding that policy for how long?
3 years
How long does the licensee have to notify the commissioner of a change in business address?
30 days
An agent must be a resident of the state and be present in the state for at least how many months each year?
6 months
Order of the hearing must be issued and given to parties involved within
30 days
The commissioner must examine all domestic insurers at least once every ________________________
5 years
How long to report criminal prosecution against licensee?
30 days
What is the fine for violation of cease and desist order?
$10,000
What is the maximum total liability of the GA Life and Health Insurance Guaranty association for any 1 life?
$300,000
In replacement, an existing insurer must provide policy owners with a policy summary for existing life insurance within how many days of receiving the written communication and replacement?
10 days
Commissioner's term of office is
4 years
How long do insurers need to keep advertisements on hand in state of GA for possible examination
4 years
Examine domestic insurers and rating organizations within
5 years
All insurers (domestic, foreign, or alien) need to obtain what in order to transact insurance in a given state?
Certificate of Authority
If an agent advises a policyholder to replace an insurance policy but only does so for the purpose of making commissions, the agent has committed an act of ___________________.
Churning
Date for renewal to file annual statement of preceding year
March 1 with an extended deadline of 60 days
During a sales presentation, a producer intentionally makes a statement which may mislead the insurance applicant. This describes ___________________.
Misrepresentation
Insurers owned by stock holders who have the usual rights of ownership, including the right of voting are who?
Stock
What term refers to soliciting insurance, making an insurance contract effective, and dealing with matters arising from that contract?
Transacting insurance
The term "conservation effort" deals with what?
discouraging the policy holders from dropping existing policies
Stock companies issue _________________ policies.
nonparticipating
Mutual companies issue __________________ policies.
participating
Whenever agents submit applications to insurers, they must also submit statements disclosing whether or not replacement is involved. Who must sign these statements?
Applicant and agent
What is the minimum CE requirement needed for agents every 2 years?
24 hrs
What is the maximum amount of commissions from controlled business in percent?
25%
What is the minimum CE requirement for ethics education for agents?
3 hrs
Hearing must be held within
30 days
If an insurance company makes a statement that its policies are guaranteed by the existence of the Insurance Guaranty Association, that would be considered ________________
an unfair trade practice
How long must companies maintain records of insurance transactions?
5 years
To obtain couselors license, you need how many years of experience in insurance do you need?
5 years