Hawaii Common Law

A producer who is found guilty of a single unintentional violation of Unfair Trade Practice Regulations may be fined up to

$1,000

If, after a hearing the Commissioner finds that an insurer knew or reasonably should have known they were in violation of Unfair Trade Practice Regulations, he may issue a Cease and Desist order and impose a maximum total fine of

$50,000

If a producer writes a policy with an unauthorized insurer who refuses to pay a covered claim, the producer must pay how much percent of the claim?

100%

The insurer must notify the Commissioner of a producer's appointment within how many days of receiving their first application

15

A producer with a L&H or a P&C license must earn how many hours of CE every 2 years, 3 of which must be related to HI law

20

After a hearing, the commissioner may levy all of the following penalties on a producer who violated an Unfair Trade Practice Regulation EXCEPT:

6 months in jail

To which of the following could a producer pay part of her commission without violating any insurance regulations:

A partnership of which the producer is a member

All are true regarding a producers license EXCEPT:

A producer may continue to sell for up to 12 months on an expired license.

Of $100,000 in premiums producer Smith wrote over the past year $60,000 came from sales to Smith's family members, this is

A violation of the "controlled: business regulations

Conditions for a corporate insurance agency seeking a Hawaii producer's license include

All agency principals selling insurance to have an individual liucense

In authorizing an insurer to transact business in Hawaii, the Commissioner is

Allowing that company to legally do business in this state.

Clark's credit union refused his application for an auto loan unless he agreed to purchase credit life insurance from them. This is an example of:

Coercion

All of the following are considered to be misuses of Trustee funds EXCEPT:

Collecting interest on a customer balances held in a producers trust account, with their permissions

All of the following are requirements for obtaining a resident producer's license EXCEPT

Completion of pre-license training

A producer who procures a license for the principal purpose of obtaining insurance for herself, her family members or employees is violating the regulations concerning

Controlled Business

A producers license may be suspended or revoked for all of the following except:

Conviction of a misdemeanor

Domestic insurers must be audited by the Commissioner

Every 3 years

All are the duties of the Commissioner, EXCEPT

Examine insureds

A client may challenge the validity of a consumer investigation report under the

Fair Credit Reporting Act

All of the following are penalties that the Commissioner may levy when a producer fails to report a change of address within 30 days EXCEPT:

Fine up to $15,000

All of the following are included in the premium EXCEPT:

General Excise Tax

Which of the following is a producer Trustee duty:

Handling premiums

To obtain a Hawaii producer's license as a nonresident you must

Have a similar license in your home state

Mr. " R " is a corporate officer who works at the insurer's home office. If he does not sell insurance and does not receive commission

He does not need a producers license

A marketing program that relies on threats, fear or intimidation is known as

High pressure sales tastics

If a producer or insurer is found to have violated an insurance law, the Commissioner may do all of the following EXCEPT

Impose time in jail

As an insurance company, you represent:

Insurers

All are true about the State Guaranty Association EXCEPT:

It covers title and ocean marine insurance

All of the following are true regarding a producer's license EXCEPT:

It is issued for 1 year.

Which of the following is not one of the duties of the commissioner

Making rates

A producer's statement that the policy they are selling is similar to shares of stock is:

Misrepresentation

Which of the following is considered to be an Unfair Claims Settlement Practice

Misrepresenting policy provision

An example of Defamation, which is an Unfair Trade Practice is:

Misstating the financial condition of an insurer or producer

Which type of insurer may pay dividends to a policyholders:

Mutual

Which of the following is considered to be rebating

Offering Super Bowl tickets as an inducement to a sale

Which of the following would be considered to be a rebate

Offering to give part of the commission to a customer as an inducement to buy

Under Hawaii's Unfair Claim Practices regulations, when denying a claim an insurer must do all of the following except:

Pay a claim that occurs after the grace period has ended.

You need a producer's license to sell all EXCEPT:

Pre-Paid Legal Insurance

The purpose of insurance regulation is to

Protect the insurance buying public

Which is not prohibited under the Unfair Trade Practice Regulations

Readjusting group premiums based on loss or expense experience

Which of the following would not be considered an Unfair Claims Settlement Practice?

Refusing to pay a claim after conducting a proper investigation

Under Hawaii's Unfair Claims Practice regulations, all would be considered violations Except:

Requiring claimants to submit proof of loss

All of the following are violations of Hawaii insurance law EXCEPT:

Selling insurance with a nonresident license

Which type of government is primarily concerned with regulating insurance

State

Types of insurers that may be formed in this state include which of the following

Stock, mutual, and reciprocal

All of the following are true regarding producer's records EXCEPT:

The commissioner must pay all costs relatied to an examination

All of the following can void a policy written by an unauthorized insurer EXCEPT:

The insurer

All are true about "foreign" insurance companies EXCEPT:

They do not need a Certificate of Authority in Hawaii

All are true about temporary licenses EXCEPT:

They may be issued to new producers while they bare in training

You represent a large California based insurer who does business in all 50 states . All of the following are true EXCEPT:

You must obtain a producers license in all 50 states.

All are true regarding producer appointments EXCEPT:

a producer must be appointed at the time business is placed with an insurer

No foreign insurer shall transact insurance in this state without a

certificate of authority

A California based insurer cannot pay a commission to a Hawaii producer unless the producer is licensed

in Hawaii

All of the following are duties of a producer EXCEPT:

modifying insurance contracts

Which of the following correctly defines an "alien" insurer doing business in Hawaii

one formed under the laws of another country, but holding a certificate of authority in Hawaii

An insurer that is domiciled in another state may do business in Hawaii if:

they obtain a Certificate of Authority in Hawaii

An insurer or producer may not compensate a(n)

unlicensed producer

How many principals may a producer represent

unlimited

The commissioner may examine an authorized insurer

whenever prudent to enforce the insurance code

Insurers must respond to claims communications

within 15 working days