Life Insurance Regulations

committing insuranace fraud is considered a/an

Felony

Andy the producer violated the Insurance Code very intentionally, in order to substantially increase his commissions. How much would he likely be penalized?

$25,000

The maximum fine for violating the insurance code is?

$25,000

Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?

3 days

When a resident producer changes his residence address, the insurance department must be notified within

30 days

Existing and replacing life insurers are required to keep copies of all summaries, notices, and statement used in sales transactions until the conclusion of their next examination by the insurance department, or for a period of at least

5 years

Existing and replacing life insurers are required to keep copies of all summaries, notices, and statements used in sales transactions until the conclusion of their next examination by the Insurance Department, or for a period of at least

5 years

This state provided for a temporary license for all of the following except

A producer's retirement

Which of the following individuals must be licensed as an insurance agent?

An employee of an insurer who recieves commissions only on a few policies a year

A banker is ready to close on a customer's loan. The bank is prepared to offer the loan but only if the customer purchases an insurance policy from the bank in the amount of the l;oan. This is an example of

Coercion

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

Coercion

When twin brothers applied for life insurance from company A, the company found that while neither of them smoked and both had very simular lifestyle, one of the twins was in much stronger financial position than the other. Because of this, the company charged him higher rate for his insurance. this practice is considered?

Discrimination

How can a person become the commissioner?

Election

An insurance company has published a brochure that inaccurately potrays the advantages of a particular insurance policy. What is this an example of?

False advertising

Which of the following regulatory authorities participated in creating the national do not call registry

Federal Trade commission (FTC)

Which of the following best describes the unfair trade practice of defamation?

Making derogatory oral statements about another insurer's financial condition

On its advertisment, a company claims that it has funds in its possession that are in fact, not available for payment of losses or claims. the company is guilty of?

Malpresentation

Which of the following documents must be provided to the policyowner or applicant during policy replacement?

Notice regarding replacement

The purpose of insurance regulation is to?

Promote the public welfare

Charla wants to serve as a producer for commissions Galore Insurance company. In addition to obtaing her producer's license, whatelse must happen before she can officially transact insurance for CGIC

She must be appointed specifically by CGIC

In comparison to consumer reports, which of the following describes a unique characteristic of investigative reports?

The customer's associates, friends, and neighbors provide the report's data

ABC insurance company wishes to begin transacting business in Louisiana. Before it can do so, it must do which of the following?

obtain a certificate of authority

Under the Fair Credit Reporting Act, if a consumer challenges the accuracy of the information contained in a consumer or investigative report, the reporting agency must

respond to the consumer's complaint

Which of the following is an example of the producer being involved in an unfair trade practice of rebating?

telling a client that his first premium will be waved if he purchases the insurance policy today