Laws and rules
A producer must remit premiums to the insurer within ___ days after receipt.
45 days
When replacing an existing life insurance policy, the replacing insurer must notify the existing insurer within
5 days
How long must a replacing insurer maintain the records of a replacement transaction?
5 years
When recommending the purchase or exachangd of an annuity, a producer must determine the suitability of the purchase by performing all of the following except
Determining the marital status of the application
Employer noncontributory group life policies must allow for all of the following except
Insured can determine the benefit amount
If an applicant for an annuity refuses to provide suitability information, the producer should
Obtain thr consumers signed statement documentinf his or her refusal to provide suitability information
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
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
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
Interest on Life Insurance Proceeds
required if the claim was not paid within 30 days of the date insurer received the claim
If an annuity application was not taken in person, an insurer must provide the applicant a Buyer's Guide
within 5 business days of the insurer receiving the application
An producer who violates a cease and desist order may, after a hearing, be fined up to
$500
Which of the following statements regarding the notice regarding replacement of life insurance is correct?
A copy of the notice must be signed by the applicant and submitted with the application
When a minor is designated as the sole primary beneficiary,
A guardian will be court-appointed in the event of a death claim
Which of the following statements is CORRECT regarding insurable interest in a life insurance contract?
A person generally is considered to have an unlimited insurable interest in himself or herself
A life insurance applicant realized he failed to disclose material medical history and calls the producer. Any changes made to the application must be initiated by the
Applicant
If an insurance company wishes to discriminate rates based on gender, it must
Be justified by actuarial statistics
A producer that only sells insurance to family members is said to be engaging in
Controlled business
Which of the following statements is true regarding the replacement of a life insurance policy in Colorado?
The replacing insurer must maintain copies of all records regarding the replacement for at least 5 years
An insurer cannot deny a claim unless
There is a reasonable explanation of the claim
To be valid, a group life insurance policy
May not be issued to a group formed solely for the purpose of obtaining insurance.
Which of the following is required for a life insurance lapse notice?
Reason stated why the policy will lapse
If a producer offers to refund part of a prospect's premium in exchange for the purchase of a life insurance policy, the producer is committing the illegal act of
Rebating
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
Which of the following potential insurance sales would be subject to replacement regulations?
A new policy that causes an existing life insurance policy to be surrendered
