CO Statutes, Rules & Regulations Pertinent to Life Only

The free-look period for new policies is how many days?

15 days

Incontestability provision prevents insurer from

denying claim based on statements in application after policy has been in force for 2 years

A policyowner plans to change insurance coverage from one insurer to another. If the insurer starts a conservation effort, the insurer is

discouraging policyholder from dropping existing policies

Group life insurance policies delivered in CO must maintain all of the following provisions EXCEPT

Statements on the application are considered warranties *considered representations, not warranties

Suicide is incontestable after the policy has been in force for how many years

1 year

At the time of application for an annuity, a producer did not provide a buyer's guide and disclosure statements to the contract owner. In this situation, the contract owner is entitled to a free-look period of at least how many days?

15 days

During policy replacement, the free-look period must be how many days?

30 days

What number of days is required for the grace period for the payment of every premium after the first?

31 days

The conversion period requires no evidence of insurability within

31 days of policy termination

Which would not constitute a policy replacement? a. converting group coverage to individual coverage b. causing a lapse of an existing policy c. changing a policy to reduced paid-up insurance d. causing a reduction in the policy;s benefit amount

a. converting group coverage to individual coverage

If the consumer refuses to provide relevant info requested by the insurer or producer, or fails to provide complete or accurate information,

an insurance producer has no obligation to assure that a recommendation is suitable for the consumer

Which is considered a violation of life insurance advertising regulations?

calling a variable insurance policy an investment plan

As part of the continuing education requirement, what is the minimum number of hours of CE specific to annuities that must be completed for each license renewal period?

4 hours

Insurance companies must maintain copies of all sales materials and applications used in replacement situations for a minimum of

5 years

The term "employer" with respects to group insurance policy coverage includes all EXCEPT A. condo owners in a sub-division B. Countries and cities C. Incorporated towns and school districts D. Other political subdivisions

condo owners in a sub-division

Insurers must screen all marketing plans to assure that an advertisement does NOT use as the name or title of any kind of an annuity contract any phrase that

does not include the word "annuity" unless accompanied by other clear language indicating it is an annuity

Noncompliance with prohibited senior-specific certifications can result in

fines, issuance of cease and desist orders, and/ or suspension or revocation of license

Before marketing an annuity contract to the consumer, an agent has a responsibility to determine whether an annuity is suitable for a client by

questioning the client regarding her investments and other insurance products

Which rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insurance?

replacement rule

CO's Insurable Interest Act allows all EXCEPT a. purchase of life insurance on a step child by a step parent b. viatical settlements c. stranger-originated life insurance d. purchase of life insurance by a business owner on a a key person

stranger- originated life insurance

Under an employer-sponsored group plan, if the insurance on a person covered under the policy ceases because of termination of employment,

the certificate owner is entitled to convert coverage to an individual policy without evidence of insurability