Section 5: Statutes, rules common to life and health

When the. Commissioner finds, after a hearing, that a person has intentionally violated an insurance regulation, what is the maximum fine that may be levied:

$25,000

Texas resident agents must complete ___ hours of continuing education every two years,

24

How long does an agent whose license has been revoked have to wait before they can reapply for a new license?

5 years

A Texas resident agent seeking to sell insurance to customers in another state needs:

A nonresident license in that state

A person appointed by an insurer to solicit or sell insurance on their behalf in this state is known as a(n):

Agent

All are true about insurance licensing EXCEPT:

All accounts of a terminated agent must be non-renewed by the insurer

Conditions for a corporate agency seeking a Texas insurance agent's license include:

All active corporate officers must have individual agent's licenses

To obtain a Texas license, you must do all EXCEPT:

Complete pre-license training

When the applicant passes the exam and qualifies in all other respects except for the fingerprint check by the FBI, the Department of Insurance will issue a license called:

Conditional

An agent who procures a license for the principal purpose of obtaining insurance for themselves, for family members or employees, violates the regulations prohibiting:

Controlled business

Making false or malicious statement about the financial condition of an insurer or agent is what type of Unfair Trade Practice:

Defamation

All could be considered rebates EXCEPT:

Dividends

Temporary licenses issued in Texas generally:

Expire in 90 days

If a license is revoked, the licensee shall NOT be eligible for a new license:

For at least 5 years

Insurers applying for authority to do business in Texas are required to do all of the following, EXCEPT:

Maintain their home office in Texas

Circulating deceptive sale material to the public is what type of Unfair Trade Practice:

Misleading advertising

The Insurance Commissioner shall re-examine each established, authorized insurer in Texas no less than:

Once every five years

To become a Texas insurance agent, you must:

Pass an exam

Which of the following is NOT considered an unfair practice:

Paying dividends to policyholders out of a surplus accumulated from participating policies

Which of the following is NOT prohibited under the Unfair Practices sections of insurance law:

Readjusting group premium rates based on loss or expense experience

If an agent is convicted of a felony in this or another state, who do they have to notify:

The State Department of Insurance

Under the Unfair Claims Settlement Practices Act, which of the following is NOT unfair:

The denial of an unsubstantiated claim

Sharing commission is legal if:

The other party is licensed for the same lines if insurance you are

What is the maximum period of time the Commissioner May revoke your agent's license:

There is no maximum time period

If an agent's license is suspended or revoked, what happens to their accounts:

They continue in force

Which of the following statements regarding temporary licenses is FALSE:

They may be renewed

Unfair claims practices will be assumed to be intentional if:

They occur with such frequency as to indicate a general business practice

What is the maximum time a Texas insurance agent's license may be issued for:

Two years

Forcing a client to buy insurance from a particular lender as a condition of granting a loan is defined as:

coercion

The type of government primarily concerned with the regulation of insurance and insurance companies is:

state government