GA State Laws P&C License

If a licensee knowingly engages in an unfair trade practice, the Commissioner may impose a penalty of up to:

$5,000 per violation

In Georgia, how much notice must an insurer provide before cancelling a policy due to nonpayment of premium?

10 days

When the Commissioner issues a notice for a hearing regarding an unfair claims settlement practice, the hearing must be held within ________ of the date the notice is served.

15 days

What is the maximum duration a temporary license may be valid for?

15 months

In Georgia, how many hours of CE does a recently licensed agent need to complete every 2 years?

24 hours

Georgia, controlled business may not make up more than ____% of an insurance agent's business in a year.

25

If an aggrieved person demands a hearing, the Commissioner is obliged to hold one within how many days?

30

If an aggrieved person demands a hearing, the Commissioner is obliged to hold one within ________ days, and must give all parties advanced notice of at least ______ days.

30 and 10

The merit rating plan for Workers' Compensation in Georgia includes:

A 12.5% credit for no lost-time claims in a year

The Commissioner may impose which of the following penalties on any person who violates a cease and desist order following a hearing?

A fine of up to $10,000 per violation

What is the difference between a probationary license, a temporary insurance license, and a limited insurance license?

A temporary license allows a designated individual to maintain the existing business and service existing clients in cases where another producer dies, becomes disabled, and to his military service, or is in training to be a licensed agent. A temporary license is granted for a period of 6 months, and may be renewed for up to 15 months. A probationary license may be part of a disciplinary action and it is granted for a period of between 3 and 12 months. Limited licenses do not allow an individual to sell major lines of insurance. Limited lines include such things as credit insurance and portable electronics insurance.

What is the difference between a probationary license, a temporary insurance license, and a limited insurance license?

A temporary license does not grant the licensee the power to sell new policies

Reciprocal agreements, as defined in the Georgia Insurance Code, refers to:

Agreement between the Insurance Commissioner and regulators of other states in order to facilitate licensing of nonresident adjusters in Georgia and other states

The qualifications for becoming an insurance producer include which of the following?

Applicants for a resident license must reside in Georgia at least half the year or have a business domiciled in the state

In Georgia, authorized insurers writing insurance other than personal auto insurance must file their rates with the Commissioner:

At least 45 days prior to the indicated effective date

Which of the following statements regarding the temporary insurance license is not correct? A) Temporary licenses are granted for an initial term of 6 months B) A temporary license is only granted upon the death of an agent C) A temporary license does not allow the licensee to sell, solicit, or negotiate new contracts D) Applicants for a temporary license must undergo a criminal background check

B) A temporary license is only granted upon the death of an agent

Which of the following statements regarding the ability of the Insurance Commissioner to examine insurers and other persons is true? A) The Commissioner's ability to examine insurers is limited to domestic carriers B) The Commissioner may examine the records of any licensee as often as the Commissioner deems advisable C) The Commissioner may not examine insurer records more often than once every 5 years D) The Commissioner is not required to share the report of examination with the insurer

B) The Commissioner may examine the records of any licensee as often as the Commissioner deems advisable

In order to act as an insurance agent, a licensee must:

Be at least 18 years of age, and be appointed by at least one authorized insurer or another agent. One must maintain a residence in Georgia at least 6 months out of the year, not year-round. There is no requirement to demonstrate sales ability. As for the 5 years of experience, 5 years of insurance experience is required to become an insurance counselor.

How is the Georgia Insurers Insolvency Pool funded?

By assessments against its members

In Georgia, which unfair trade practice is defined as using a license chiefly to procure insurance on the life or property of one's family?

Controlled business

In Georgia, insurers must offer to reduce the premium of a driver age 25 or older for all of the following reasons, except: A) The driver has committed no traffic offenses for the prior 3 years B) The driver has completed a 6-hour defensive driving course C) The driver has had no at-fault accident claims for the prior 3 years D) The driver has completed a 30-hour driver preparatory course

D) The driver has completed a 30-hour driver preparatory course Completing a 30 hour driver preparatory course is the basis for obtaining a discount if one is under the age of 25.

In Georgia, making any false or maliciously critical or derogatory statement regarding the financial condition of any insurer, with the intent to injure any person engaged in the insurance business, is defined as:

Defamation

A temporary license may be issued to an applicant to continue to service existing insurance policies or to wrap up an agent's business affairs due to the inability to act as an agent for all the following reasons, except:

Failure to complete continuing education requirements

Which of the following is a requirement for holding a counselor's license?

File a $5,000 counselor bond with the Commissioner

Which of the following options is not a requirement for obtaining a surplus lines broker license in Georgia?

Must be licensed as a property, casualty, and surety insurance agent in at least 2 other states

In Georgia, after an auto policy has been in force for 60 days, an insurer may send a termination notice for all of the following reasons, except:

The car is used to carry passengers as part of a car pool

To apply for a certificate of authority, an insurer must file an application showing all of the following, except:

The names of each of its agents

Charging different rates for individuals of the same class and risk defines the unfair trade practice known as:

Unfair discrimination