Colorado laws and rules

When may the Commissioner issue an emergency cease and desist order?

If there is suspicion of an unauthorized person engaging in insurance business without being licensed

fiduciary is definded as

One in whom trust in confidience is placed a refference to a broker employeed under the terms of a listing contract or a buyer agency agreement.

From what point must the insurer pay interest on the proceeds of a death claim?

date of death

A company that has not been authorized to operate in Colorado is known as

nonadmitted insurer

As a condition to be approved for a loan, a creditor may require the borrower to

obtain an insurance policy through an insurer of the borrower's preference

Renewing a producer's license requires __ hours of continued education every 2 years.

24

A producer must remit premiums to the insurer within ___ days after receipt.

45 days

Upon request, when must the colorado Supplement to the summary of benefits and coverage form be provided?

7 business days

In Colorado all of the following are considered unfair trade practices EXCEPT

Replacement

Licensing is required for all of the following except

Selling prepaid legal services

The commissioner may issue an emergency cease and desist order without a hearing for all of the following circumstances except

Writing controlled business

According to Colorado Fraud Statute, all of the following must contain a warning against insurance fraud except

certificates of authority

Which of the following is an example of rebating?

returning a portion of a premium as inducement to purchase insurance

If a producer is found to be writing primarily controlled business

the Commissioner will not renew the license

Which of the following is an example of defamation?

A brochure including an untrue statement regarding a competitor's ability to pay claims

Which of the following is CORRECT regarding a producers fiduciary responsibility with client's funds?

A producer may never commingle personal funds paid by or to a client

Which of the following is NOT required to be disclosed to an applicant for health insurance

Any contingent compensation received

If an insurance company wishes to discriminate rates based on gender, it must

Be justified by actuarial statistics

Which of the following documents are NOT required to mention the Colorado Fraud Statue?

Certificates of authority

All of the following are considered a form of advertisement EXCEPT

Communication or materials used within an insurers own organization

A producer that only sells insurance to family members is said to be engaging in

Controlled business

Circulation of a maliciously critical statement about an insurer's financial condition meant to damage the insurer's reputation or business is called

Defamation

Which of the following is an example of a misrepresentation?

Describing a universal life policy as a security

In Colorado, what is required to be covered in individual and group medical expense policies?

Diabetes

Which of the following offers an insurance applicant the right to review the contract and receive a full refund?

Free look period

All of the following penalties apply to anyone giving intentional false testimony during an insurance examination except

Guilty of a felony

Which of the following is NOT a required provision for an accident and health policy?

Insurance with others

Ultimately who is responsible for a producer-generated advertisement?

Insurer

Which information is NOT included in the Colorado Supplement to the Summary of Benefits and Coverage form?

Insurers prior year financials

In Colorado, which of the following is true regarding the commingling of an insured's funds with the funds of the producer?

It is never okay

The primary difference between the Colorado Partnership LTC policy and other LTC policies is

Medicaid assets protection

Which of the following coverage exclusions or limitations is permitted under a long-term care policy issued in Colorado?

Preexisting conditions

If a producer chooses to conduct business under an assumed name, when must notification be given to the Commissioner?

Prior to using the assumed name

An insurer cannot deny a claim unless

There is a reasonable explanation of the claim

If a contract of adhesion contains complicated language, to whom would the interpretation be in favor of?

insured

A license is deemed to be used for a controlled business if, during any 12-month period

the licensees total premiums on controlled business exceeded the total premiums on all other business

What is the maximum amount the Commissioner can fine an insurer for each violation of a cease and desist order?

$10,000

An producer who violates a cease and desist order may, after a hearing, be fined up to

$500

When may the commissioner conduct an examination of an insurance company?

As often as deemed necessary

Paying insurance premiums on a more frequent basis will cause the policy to have

Higher premiums

When a claim has been denied, the insurer must

Issue a statement to the policy owner explaining the coverage, provision, or laws on which denial was based

In addition to suspending/revoking licenses and issuing fines, the Commissioner has the authority to do all of the following except

Issue prison sentences

A verbal written statement which misleads a policy's features, benefits, or coverage is considered

Misrepresentation

If a producer is going to deposit any premium into a bank account prior to remitting the funds to the insurer, he/she must use a

Separate insurance trust account

A health insurer may exclude medical coverage for any claims that result from

Skydiving

In regards to maternity care, which of the following is not required to be covered in the State of Colorado?

Standard newborn circumcision

The USA patriot act was signed in to law as a response to

The 9/11 terrorist attacks

An insurer can deny a claim under a long-term care insurance policy for any material misrepresentation made by the insured if it has been in effect for

Fewer than 6 months

If a producer completes an insurance application, collects the initial premium, and issues the appropriate receipt,

coverage will be contingent upon the insurer's underwriting policies

When an employees coverage terminates under a group health policy, the employer must be offered continuation coverage for

18 months

All accident and health policies issued in Colorado that provide major medical services must offer policyholders the opportunity to purchase

Home healthcare coverage

Which of the following is a duty of the commissioner?

Reviewing and approving license applications

How long must a replacing insurer maintain the record of a replacement transaction?

5 years

A producer license may be suspended or revoked if the producer is found to be engaging in

Misrepresentation

T calls to file a claim on his health insurance policy. Within how many days must the insurer provide T's proof of loss forms?

15 days

An insurer that terminates a producer's appointment must inform the Commissioner within how many days?

30

How does the commissioner attain this position?

Appointed by governor

Who is not eligible to receive commissions from the sale of an insurance product?

Corporate executive

If an insurer is authorized to conduct business in another state and wishes to conduct business in Colorado, it must

receive a certificate of authority from Colorado